Current estimated value and growth rate

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Reference no: EM13921032

Last Year's Dividend (Do) $2.80

Growth rate for year 1 (g1) 25%

Growth rate for year 2 (g2) 18%

Constant growth rate year 3 on (g3) 8%

Required Rate of Return 13%

Dividend in Year 1 (D1) =

Dividend in Year 2 (D2) =

Dividend in Year 3 (D3) =

Price in Period 2 =

Discount back to today

CF0 =

CF1 =

CF2 =

I/YR =

Current Estimated Value (Po) =

If the stock was currently selling for $50, would you buy it yes or no?

Reference no: EM13921032

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