Best Buy Co. (BBY) paid a $0.27 dividend per share in 2013, which grew to $0.49 in 2017. This growth is expected to continue. What is the value of this stock at the beginning of 2017 when the required rate of return is 17.23 percent?

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The value of the stock at the beginning of 2017 can be calculated using the dividend discount model:Value of stock = Dividend / (Required rate of return - Dividend growth rate)Dividend in 2017 = $0.49Required rate of return = 17.23%Dividend growth rate = (0.49 - 0.27) / 0.27 = 81.48%Value of stock = 0.49 / (0.1723 - 0.8148) = $49.03