Genestic inc just paid a 5 dividend due to a new product


Genestic inc just paid a $5 dividend. Due to a new product about to be released, analysts expect the company to grow at a supernormal rate of 15% for three years. After that it t is expected to grow at a normal rate of 4% i indefinitely. Stocks similar to Genestek are currently earning shareholders a return of 12%. What is the estimated selling price of the stock?

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Financial Management: Genestic inc just paid a 5 dividend due to a new product
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