Krispy kreme pay next year for the stock to be fairly priced

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Krispy Kreme stock trades at $20.21 this morning. Analysts expect the donut market to heat up in the coming year. As a result, they expect Krispy Kreme to sell for $21.18 in one year. Investors want a 15.80% return to own Krispy Kreme stock based on the risk.

What dividend must Krispy Kreme pay next year for the stock to be fairly priced today?

Reference no: EM131898010

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