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The required rate of return for a stock is 1 2 % and the expected dividend in 1 year will be $ 3 . 0
The required rate of return for a stock is and the expected dividend in year will be $ The stock market believes the constant growth rate for the dividend will be forever, but you believe the constant growth rate for the dividend will be forever. Calculate the current market price of the stock, and your own "target price" for the stock.
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Market price $ Target price $
Market price $ Target price $
Market price $ Target price $
Market price $ Target price $
Market price $ Target price $
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