Question: 5 . Using information provided in the case, develop a two - stage DDM model for HarleyDavidson. Consider the appropriate sensitivities to your model inputs.

5. Using information provided in the case, develop a two-stage DDM model for HarleyDavidson. Consider the appropriate sensitivities to your model inputs. What is your target price for Harley-Davidson stock? For two-stage DDM model, you may consider using 6% for growth rate. After that use 3% growth rate for terminal year.

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