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Valuing a non-dividend paying stock Assume that a company is currently paying no dividend and will not pay one for several years. If the company

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Valuing a non-dividend paying stock Assume that a company is currently paying no dividend and will not pay one for several years. If the company begins paying a dividend of $1.00 five years from now, and the dividend is expected to grow at 5% thereafter, what is the value of the stock today? Required return on equity is 11%

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