Estimate the current share price

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Reference no: EM132020123

Answer the following question

Synovec Co. is growing quickly. Dividends are expected to grow at a rate of 30 percent for the next three years, with the growth rate falling off to a constant 4 percent thereafter.

If the required return is 11 percent, and the company just paid a dividend of $2.15, what is the current share price?

Reference no: EM132020123

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