What is the expected annual rate of dividend growth

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Reference no: EM131308068

Trench Connection U.K. Ltd (TCUK) has just paid a per share dividend of $2. Its stock is priced at $26 today (Assume that the stock price is ex dividend, i.e., the $26 price does not include the $2 dividend just paid). What is the expected annual rate of dividend growth for this firm if investors require a 12% return on TCUK stocks?

Reference no: EM131308068

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