Estimate the? firm current stock price

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Laurel Enterprises expects earnings next year of ?$3.73 per share and has a 30% retention? rate, which it plans to keep constant. Its equity cost of capital is 11%?, which is also its expected return on new investment. Its earnings are expected to grow forever at a rate of 3.3% per year. If its next dividend is due in one? year, what do you estimate the? firm's current stock price to? be?

Reference no: EM132910784

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