You are currently thinking about investing in NutriBullet Company. Shares are currently selling for $254 each. The most recent dividend was $4.50. The best growth forecasts you can find estimate the dividend will grow by 10% in each of the next 2 years, 15% in the third year, and 20% in the fourth year.

After that, analysts believe the growth rate will settle on a constant growth rate of 4%. The risk-free rate is 5%, the return on the market is 10% and the stock has a beta of 0.3.

What do you estimate the value of the stock is today? GIven your estimate, would you buy the stock today? (Hint: think about how to get the required return needed for discounting to present value)

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