Find the current value of one share of this stock

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Reference no: EM131913092

The Bell Weather Co. is a new firm in a rapidly growing industry. The company is planning on increasing its annual dividend by 20% a year for the next four years and then decreasing the growth rate to 5% per year.

The company just paid its annual dividend in the amount of $1.00 per share.

What is the current value of one share of this stock if the required rate of return is 10.25%?

Reference no: EM131913092

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