Your broker has recommended that you purchase stock in National Bank & Trust, Inc. National Bank & Trust recently paid its annual dividend ($18.00). The firm also boasts an ROE of 15%, of which 50% is paid as dividends. Analysts estimate that the stock has a beta of 1.01. The current risk-free rate is 2.00% and the market risk premium (RM - RF) is 9.00%. Assuming that CAPM holds, what is the intrinsic value of this stock?

$513.43

$500.66

$512.01

$551.34

$539.00