What is expected growth rate after year three

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DeLaval just paid a dividend of $0.50 and the company has a stock price of $15. The dividend is expected to grow at 30% over the next 2 years, 15% for one year, and then grow at a constant rate thereafter. If DeLaval’s required rate of return is 13%, what is the expected growth rate after year 3?

Reference no: EM131909600

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