About the constant growth valuation

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Reference no: EM13913748

Constant Growth Valuation

Boehm Incorporated is expected to pay a $1.30 per share dividend at the end of this year (i.e., D1 = $1.30). The dividend is expected to grow at a constant rate of 4% a year. The required rate of return on the stock, rs, is 15%. What is the value per share of Boehm's stock? Round your answer to the nearest cent.

Reference no: EM13913748

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