Genuine Parts Co (GPC) expects to have earnings 702.24$ million with share outstanding 146.61$ million in the coming year. GPC plans to epand its business in the emerging markets. Instead of using external funding to finance it, GPC decides to retain its earnings abd cut the dividends payout rate to 75% for the foreseeable future. The expected return of the new business in emerging markets is 21%. Any earnings that are not retained will be paid as dividends. Assume GPC share count remains constant and all earnings growth comes from the investment of retained earnings.
If GPC's equity cost of capital is 9.8% what is the stock price of GPC?