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2 ) An analyst is reviewing the valuation of DuPont as of the beginning of May 2 0 2 4 when DuPont is selling for
An analyst is reviewing the valuation of DuPont as of the beginning of May when DuPont is selling for $ In the previous year, DuPont has a $ cash flow per share that the analyst expects to grow at a rate of percent annually for the next five years. Starting from the end of Year the analyst expects the cash flows grow percent annually, which is expected to last forever. If the required return on DuPont common stock is percent, Please calculate the pershare value of DuPont common stock. And make a recommendation to buy or sell the stock if the stock is undervalued or overvalued comparing to its market price.
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