Question
The Nina may company is expected to pay dividends that will grow at a 21% rate from year 1 to year 4, with the growth
The Nina may company is expected to pay dividends that will grow at a 21% rate from year 1 to year 4, with the growth rate declining to a constant 2% from year 5 onwards. Dividends are paid annually. The discount rate is 10% and the company just paid a $5.10 dividend. What is the current intrinsic price of the stock for this firm?
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Financial Modeling
Authors: Simon Benninga, Tal Mofkadi
5th Edition
0262046423, 9780253337825
