What is the present value of the growth opportunity

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Company's share price is$38.3 and dividend is $1.39 in this year. Expect company maintain dividend payout ratio as 60.8399% into perpetuity. Assume the return on equity is 10% and the required rate of return is 10% p.a.

What is the intrinsic value of stock now?

What is the present value of the growth opportunity?

Reference no: EM132052820

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