Find the value of a share of stephens stock

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Reference no: EM131993864

Stephens, Inc. is a rapidly growing firm that just paid it first dividend of $1.00 per share. Stephens expects earnings and dividends to grow at an 18% annual rate for the next year, 12% for the following year and then leveling off to the industry average of 6%.

The required rate of return for stock of similar risk is 10%.What is the value of a share of Stephens' stock?

Reference no: EM131993864

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