You have the opportunity to buy 800 shares of Tata Motors stock. Its last dividend paid was $3.00. You…
You have the opportunity to buy 800 shares of Tata Motors stock. Its last dividend paid was $3.00. You expect the dividend to grow at 14% for the next 2 years with dividend growth then becoming constant at 5% for the future. How much would you pay for the stock today if your required rate of return is 18%?