Assume Colgate-Palmolive Company has just paid an annual dividend of $1.07. Analysts are predicting an 10.7% per year growth rate in earnings over the next five years. After that, Colgate's earnings are expected to grow at the current industry average of 5.4% per year. If Colgate's equity cost of capital is 9.5% per year and its dividend payout ratio remains constant, for what price does the dividend-discount model predict Colgate stock should sell?
The value of Colgate's stock is $____?