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Stock Valuation for a Future Price using both CAPM and DDM. Assume the following to determine the fundamental stock price five years from now. Starbuck's next dividend is expected to be $3.00 per share. The stock's dividend is expected to grow at a constant rate of 5 percent per year. The risk-free rate is 6 percent and the Return on the Market is 11 percent. The stock has a beta of 0.8. What is Starbucks expected price five years from now, P5?

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