Constant growth valuation
Harrison Clothiers' stock currently sells for $35 a share. It just paid a dividend of $1.5 a share (that is, D0 = 1.5). The dividend is expected to grow at a constant rate of 3% a year.
What stock price is expected 1 year from now? Round your answer to two decimal places.
$
What is the required rate of return? Round your answers to two decimal places.