The Starr Co. just paid a dividend of $1.15 per share on its stock. The dividends are expected to grow at a constant rate of 7 percent per year indefinitely. Investors require a return of 12 percent on the company's stock.
What is the current stock price? (Do not round intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)
Current price $
What will the stock price be in three years? (Do not round intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)
Stock price $
What will the stock price be in 12 years? (Do not round intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)
Stock price $