Evaluate the best estimate of the current stock price

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Reference no: EM132067451

The Ramirez Company's last dividend was $1.75. Its dividend growth rate is expected to be constant at 25% for 2 years, after which dividends are expected to grow at a rate of 6% forever.

Its required return (rs) is 12%. What is the best estimate of the current stock price?

Reference no: EM132067451

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