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You are charged with the valuation of DMH Enterprises given the following information: DMH recently paid a dividend of $1.30 and dividend growth is expected
- You are charged with the valuation of DMH Enterprises given the following information: DMH recently paid a dividend of $1.30 and dividend growth is expected to be 15% for the next three years, after which growth will taper to a constant rate of 6%. If DMHs beta is 0.75, the yield on Treasury bonds is 2% and the expected return on the market is 10%, what should be the stocks current price? Please show calcuations I am very lost this unit.
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