What is value of corporation stock today

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Guardiola Corporation’s dividends are expected to grow at a 25 percent for 2 years, after which the growth rate is expected to be a constant rate of 5 percent forever. The last dividend paid by Guardiola Corporation was $2 per share. The beta of Guardiola Corporation is 1.5, market risk premium is 5.33 percent, and risk free rate is 4 percent. What is the value of corporation’s stock today?

Reference no: EM131584068

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