What share price would we place on axp today

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AXP just paid a dividend of $0.80 per share and analysts forecasted five-year growth rates of 10.54 percent per year for AXP and 13.21 percent per year for the industry average. Assume the growth rate for the industry average will remain constant. Then, assuming AXP's growth rate will revert to the industry average after five years, what share price would we place on AXP today, if we use a discount rate of 15 percent per year?

Reference no: EM132656382

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