What should Amtronics stock sell for today

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Question - Amtronics' common stock currently pays no dividend but analysts forecast that it will start by paying a $0.75 dividend 2 years from now. Analysts then expect the dividend to grow at 4% annually, forever, beginning in year 3. Assuming a 12% cost of equity capital (i.e., discount rate), what should Amtronics' stock sell for today?

Reference no: EM133029299

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