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Todd Mountain Development Corporation is expected to pay a dividend of $4 in the upcoming year. Dividends are expected to grow at the rate of
Todd Mountain Development Corporation is expected to pay a dividend of $4 in the upcoming year. Dividends are expected to grow at the rate of 8% per year. The risk-free rate of return is 3%, and the expected return on the market portfolio is 12%. The stock of Todd Mountain Development Corporation has a beta of 1.2. Using the constant-growth DDM, the intrinsic value of the stock is _________.
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The Routledge Handbook Of FinTech
Authors: K. Thomas Liaw
1st Edition
0367263599, 978-0367263591
