The current value per share of stock is $31.57.
<h3>What is the current value per share ?</h3>
The two-stage dividend model would be used to determine the current value per share of the stock. In the two-stage dividend growth model, the first stage is characterised by high growth rate. In the second stage, the high growth rate falls to a steady or normal growth rate
Total cash flows in the second stage of constant growth: (72,500 x 1.016) / (0.154 - 0.016) = 533,768.12
Now determine the present value of the cash flows:
($48,200 / 1.154) + ($57,900 + 1/154²) + $71,300/ 1.154³ + ($72,500 / 1.154^4) + (533,768.12 / 1.154^4) = $473,495.26
Current value per share = $473,495.26 / 15,000 = $31.57
To learn more about how to determine the value of a stock, please check: brainly.com/question/15710204
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