What should the price of the stock be in one years time

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Reference no: EM131997463

1. Your company's expects to pay a $100 dividend for each of the next years. of the two Following that dividend, dividends are expected to grow 50% annually for each subsequent 2 years, and 20% in the year after that. At that point, dividend growth will then settle down to a constant, steady state rate of 4% per year. Assuming a required rate of return of 14%, what should your company's stock sell for today? 9.

2. Using the information from question 1, what should the price of the stock be in one year's time ?

Reference no: EM131997463

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