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Reference no: EM131347672

Suppose the company is facing a fast growth of 22% per yaer for the next 4 years. After that the growth becomes constant 0%. Company's beta is 1.2; market risk premium is 5.5% and risk-free rate is 3% Last dividend (Do) is $1.25 per share.

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Horizon stock price at time 4;

Intrinsic stock value today.

Reference no: EM131347672

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