What do you estimate the firm current stock price to be

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Reference no: EM131947070

Laurel Enterprises experts earnings next year of $3.58 per share and has a 40% retention rate, which it plans to keep constant. It's a credit cost of capital is 9%, which is also its expected return on new investment. It's earning are expected to grow forever at a rate of 3.6% per year. if its next dividend is due in one year what do you estimate the firm's current stock price to be?

Reference no: EM131947070

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