What is expected long-run growth rate

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Reference no: EM13933421

uperwidget Inc. has an equity beta of 1.5. The market risk premium is 6%, and the risk-free rate is 2%. Superwidget has just paid a dividend of $5 per share, and its current market stock price is $106. Superwidget pays regular dividends once a year. What is Superwidget’s expected long-run growth rate? Show your working

Reference no: EM13933421

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