Question: Next Page Question 62 (1 point) A common share is trading at $20.00 It is expected to pay a dividend of $0.80 next year &

Next Page Question 62 (1 point) A common share is trading

Next Page Question 62 (1 point) A common share is trading at $20.00 It is expected to pay a dividend of $0.80 next year & has always increased it's dividend by 2.5% per year. The consensus required rate of return is 7%. Using DDM, which of the following is true? the stock is currently overvalued by $2.25 the stock is currently undervalued by $2.22 the stock is currently overvalued by $2.22 Page 62 of 100 the stock is currently undervalued by $2.25

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