Find the value of gillette stock

Reference no: EM131936965

Question: Assume Gillette Corporation will pay an annual dividend of $0.66 one year from now. Analysts expect this dividend to grow at 11.7% per year thereafter until the 6th year. Thereafter, growth will level off at 2.1% per year. According to the dividend-discount model, what is the value of a share of Gillette stock if the firm's equity cost of capital is 8.5%??

The value of Gillette's stock is $___?

Reference no: EM131936965

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