CF Lee Inc.’s most recent dividend was $3 per share (D0). The dividend is expected to grow at a rate of 7 percent per year. The risk-free rate is 2% and the return on the market is 10%. If the company’s beta is 1.5, what is the price of the stock today?
$44.41
$45.86
$47.53
$48.42
$43.56