1. A share of stock sells for $37 today. The beta of the stock is 1.4 and the expected return on the market is 14 percent. The stock is expected to pay a dividend of $1.2 in one year. If the risk-free rate is 5.2 percent, what should the share price be in one year? (Do not round intermediate calculations. Round your answer to 2 decimal places.)
2. Stacker Weight Loss currently pays an annual? year-end dividend of ?$1.20 per share. It plans to increase this dividend by 5.0% next year and maintain it at the new level for the foreseeable future. If the required return on this? firm's stock is 9%?, what is the value of? Stacker's stock?
The value of Stacker's stock is $_____?