Your firm requires all its analysts to use a dividend discount model (DDM) to value dividend-paying stocks. Using DDM, you must now value Big Wheel Truck Inc. The firm's dividend is expected to grow by 3% per year in the future. Big Wheel Truck Inc. characteristics Beta 1.25 Next year’s dividend / shares $ 0.45 Market Capitalization Rate 12.25% Calculate the intrinsic value of one share of Big Wheel Truck stock.
