The dividend is expected to grow at 10 percent per year for


Diana Ltd. paid a $2.50 per share dividend yesterday. The dividend is expected to grow at 10 percent per year for the foreseeable future. Diana Ltd. has a beta of 1.6, a standard deviation of returns of 30 percent, and a required return of 18%. What is the value of a share of Diana Ltd. common stock?

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Finance Basics: The dividend is expected to grow at 10 percent per year for
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