Intrinsic Value Calculation Using Gordon Growth Model

Easy Equity Valuation Applications Discounted Dividend Valuation

ABC Corporation is expected to pay a dividend of $2.00 per share next year. The company's dividends are expected to grow at a constant rate of 5% indefinitely. If the required rate of return for investors is 10%, what is the intrinsic value of ABC Corporation's stock using the Gordon Growth Model?

$30.00