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Changes in risk premiums and growth expectations

Question: Here is information on Stock A and B:

Stock A Stock B
Expected Dividends Next Year $1.00 $2.33
Expected Constant ROE 20% 20%
Expected Retention Rate 70% 30%
Required Return on Stocks of = risk 20% 20%

Which stock is more sensitive to changes in risk premiums and growth expectations?

Also, would you consider either a true growth stock?

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Finance Basics: Changes in risk premiums and growth expectations

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Finance Basics: Changes in risk premiums and growth expectations

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