You see a fast growing company that is estimated to have dividend growth of $18\%,16\%,$ and $14\%$

over each of the next three years $(18\%$ in year $1,16\%$ in year $2,14\%$ in year $3).$ The company paid a

dividend of $$2\mathrm{.}25$ per share over the past $12$ months. Dividends are expected to grow at a constant

rate of $3\mathrm{.}0\%$ per year beginning in year $4$ to perpetuity. The risk$-$free rate of return is $4\%$ and the

market risk premium is $6\%.$ The stock has a beta of $1\mathrm{.}20$ versus the S&P $500.$ Calculate the intrinsic

value of this stock using the two$-$stage dividend discount model.

$$30\mathrm{.}55$

$$35\mathrm{.}11$

$$39\mathrm{.}50$

$$34\mathrm{.}36$