A stock analyst wants to use a dividend pricing model to value Google stock. The analyst believes Google will pay its first dividend in exactly 15 years, and she is guessing that the dividend will be $10.00 per share at that time.
The analyst assumes that dividends will grow by 5% per year going forward after year 15.
The required return to hold Google is estimated to be 12% per year. Based on these assumptions, what is the intrinsic value of Google stock TODAY