Westover Winds, which just paid annual dividends of $$1\mathrm{.}80$ per share $($DPS$),$ has a stock beta of $1\mathrm{.}15.$ The company will increase its DPS by $15\%$ next year, and will then reduce its dividends growth rate by $2\mathrm{.}5$ percentage points per year, i$.$e$.,$ growth rate is $12\mathrm{.}5\%$ for the second year, until it reaches the industry average growth rate of $3$ percent. Afterwards, its DPS will maintain the constant growth rate $($with a dividend payout ratio of $75\%)$ indefinitely. Assume that the risk$-$free rate is $3\mathrm{.}5\%$ and the market risk premium is $12\mathrm{.}0\%.$

$($a$)$ State the specific cash flow patterns for the dividend streams in the $($i$)$ finite growth

stage; and $($ii$)$ infinite growth stage; respectively. Precisely explain your answers!

$($b$)$ Compute the intrinsic value of the stock today;

$($c$)$ Compute the values of income and growth components, respectively, and the capital

gains yield of the stock at the end of the finite growth stage.

$($d$)$ If the stock price is $$20\mathrm{.}0$ today, precisely explain your investment recommendation

on the stock according to the Intrinsic Value Analysis.