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Can you please explain the formulas used to caculate the 3 YELLOW rows given the data available here in this table? - Horizon Value Present
Can you please explain the formulas used to caculate the 3 YELLOW rows given the data available here in this table? - Horizon Value Present Value - PV of Free Future Cash Flows - Estimated Stock Price
Two - Stage Growth Model | |
Company X | |
Growth 1 (five years) | 8% |
Growth 3 (6th year on) | 4% |
Future Cash Flow 0 (Average) | 1,242,220,000.00 |
Future Cash Flow 1 (8%) | 1,341,597,600.00 |
Future Cash Flow 2 (8%) | 1,448,925,408.00 |
Future Cash Flow 3 (8%) | 1,564,839,441.00 |
Future Cash Flow 4 (8%) | 1,690,026,596.00 |
Future Cash Flow 5 (8%) | 1,825,228,724.00 |
Future Cash Flow 6 (8%) | 1,898,237,873.00 |
Horizon Value Present Value | 96,357,252,411.00 |
Weighted Average Cost of Capital | 5.97% |
PV of Free Future Cash Flows | 7,917,752,783.00 |
Total Present Value (PV + HV) | 104,275,005,194.00 |
Debt | 2,347,500,000.00 |
Estimated Market Cap | 101,927,505,195.00 |
Number of Shares Outstanding | 1,485,100,000.00 |
Estimated Stock Price | $68.63 |
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