What will be the companys stock price in three years

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Reference no: EM131992388

St. John Medical, a surgical equipment manufacturer, has been hit hard by increased competition. Analysts predict that earnings and dividends will decline at a rate of 5 percent annually into the foreseeable future.

If the firm's last dividend (D_0) was 52.00 and the investors' required rate of return is 15 percent, what will be the company's stock price in three years?

Reference no: EM131992388

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