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Woidtke Manufacturing's stock currently sells for $26 a share. The stock just paid a dividend of $1.50 a share (i.e., D 0 = $1.50), and

Woidtke Manufacturing's stock currently sells for $26 a share. The stock just paid a dividend of $1.50 a share (i.e., D0 = $1.50), and the dividend is expected to grow forever at a constant rate of 9% a year.

What is the estimated required rate of return on Woidtke's stock? Round the answer to three decimal places

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