What is the new stock price

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Question: As an investment analyst covering KO, you are tasked to setting a target price for the stock.

Find the current stock price, earnings per share and P/E ratio for KO.

Assuming earnings growth g of 10%, what will the stock price be next year and in five years?

Continuing with the KO example, and assuming a stock price of $46.71, calculate the expected return.

Suppose accelerating climate change threatens the water KO needs to produce its products, increasing the riskiness of its business. Investors now require a 12% return. What is the new stock price?

Reference no: EM132756198

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