Question: Tough times have hit the retail store chain of Brador
Tough times have hit the retail store chain of Brador, Inc. Analysts expect its dividend of $1.00 a share to fall by 50 percent next year and another 50 percent the following year before it returns to its normal growth pattern of 3 percent a year. If investors expect a return of 18 percent on their investments in Brador stock, what should its current stock price be?
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