The dividend discount model-stock price

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You expect Budweiser will pay dividends of 1.75 in one year, 2.25 in two years, and 2.75 in three years. From that point onwards, dividends will grow at 5% per year. Investors' required rate of return is 11%. According to the Dividend Discount Model, what should be Budweiser's stock price?

Reference no: EM131055767

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The dividend discount model-stock price : You expect Budweiser will pay dividends of 1.75 in one year, 2.25 in two years, and 2.75 in three years. From that point onwards, dividends will grow at 5% per year. Investors' required rate of return is 11%. According to the Dividend Discount Model,..
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