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Simmons Inc.s current stock price is $30, and its last dividend was $2.40. In view of Simmonss strong financial position and its consequent low risk,
Simmons Inc.s current stock price is $30, and its last dividend was $2.40. In view of Simmonss strong financial position and its consequent low risk, its required rate of return is only 9%. If dividends are expected to grow at a constant rate g in the future, and if rs is expected to remain at 9%, then what is Simmons expected stock price 5 years from now?
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