What should their current stock price be

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Reference no: EM132003818

Agilent Technologies (TKR-A") does not currently pay a dividend. However, their earnings have been growing at a very high rate. Thus, they are expected to begin paying a dividend 5 years from today. The first dividend is expected to be $0.50 per share, and the dividend is then 1. period, the stock will enter a slower growth perpetuity phase of 8% per year. The required return on Agilent stock is 1 2%. What should their current stock price be?

Reference no: EM132003818

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