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This year, Bootle's Inc. just paid out a $1.15/share annual dividend. Analysts predicts a 10.2% growth rate in earning per year over the next 2
This year, Bootle's Inc. just paid out a $1.15/share annual dividend. Analysts predicts a 10.2% growth rate in earning per year over the next 2 years, a 5.7% growth rate for the following year, and after that they expect earnings growth at the industry average of 4% forever. Comparable investments have a rate of return of 6%. If Bootle's Inc. expects to keep its dividend payout ratio constant, which is closet to the price you should expect to pay for the stock today?
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