Determine the current stock price


Question: Last dividend was $1.00, dividend growth rate is expected to be constant at 15% for 2 years after which the dividends are expected to grow at a rate of 10%, forever. The required return (rs) is 12%. What is the current stock price?

Solution Preview :

Prepared by a verified Expert
Accounting Basics: Determine the current stock price
Reference No:- TGS01940974

Now Priced at $20 (50% Discount)

Recommended (92%)

Rated (4.4/5)