Determining the beechy bottlers share price

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Beechy Bottlers has 84 million shares outstanding and expects earnings at the end of this year of $54 million. Beechy plans to pay out 30% of its earnings as a dividend and 10% of its earnings through share repurchases. The firm has an equity cost of capital of 12%. If earnings are expected to grow by 6.5% per year and these payout rates remain constant, what is Beechy Bottlers share price.

Reference no: EM133057590

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