Homework: Lecture 2 Homework (Ch 4,6,7) New Save Score: 0 of 1 pt 5 of 5 (4 complete) HW Score: 80%, 4... P 7-20 (similar to) Question Help Assume Highline Company has just paid an annual dividend of $0.94. Analysts are predicting an 10.3% per year growth rate in earnings over the next five years. After then, Highline's earnings are expected to grow at the current industry average of 5.5% per year. If Highline's equity cost of capital is 7.8% per year and its dividend payout ratio remains constant, for what price does the dividend-discount model predict Highline stock should sell? The value of Highline's stock is $ 70.39. (Round to the nearest cent.)