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stoneheart group is expected to pay a dividend of 3.01 next year the company’s dividend growth...

stoneheart group is expected to pay a dividend of 3.01 next year the company’s dividend growth rate is expected to be 4.7 percent indefinitely and investors require a return of 10.9 percent on the company’s stock. What is the st
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Answer #1

Stock price= Expected dividend/(return-growth rate)

Stock price =3.01/(10.9%-4.7%)

Stock price =48.55

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