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XYZ tech is based in European Union. Share price of XYZ is traded at 40 euro per share. Company is paying dividends once a year.

XYZ tech is based in European Union. Share price of XYZ is traded at 40 euro per share. Company is paying dividends once a year. Expected dividend next year is about 2 euro per share. Return on equity is equal to 0.14.

Using Gordon model find implied growth rate of the company XYZ.

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