Determining the company theoretical current stock price


Schnusenberg Corporation just paid a dividend of D0=0.75 per share, and that dividend is expected to grow at a constant rate of 6.50% per year in the future. The company's beta is 1.25, the required return on the market is 10.50% and the risk-free rate is 4.50%. What is the company's theoretical current stock price?

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Finance Basics: Determining the company theoretical current stock price
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