The companys stock has a beta of 14 the risk-free rate is


A company currently pays a dividend of $1.25 per share. It is estimated that the company's dividend will grow at a rate of 12% per year for the next 2 years, then at a constant rate of 4% thereafter.

The company's stock has a beta of 1.4, the risk-free rate is 2.5%, and the market risk premium is 9%. What is your estimate of the stock's current price?

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Financial Accounting: The companys stock has a beta of 14 the risk-free rate is
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