Estimating Share Value Using the DCF Model Following are forecasts of Target Corporation's sales, net operating profit after tax (NOPAT), and net operating assets (NOA) as of February 2, 2019, which we label fiscal year 2018. Horizon Period Reported 2018 Terminal Period $ millions 2019 2020 2021 2022 Sales $93,428 NOPAT $75,356 $79,124 $83,080 $87,234 $91,596 3,269 3,402 3,572 3,751 3,939 23,020 24,197 25,407 26,677 28,011 4,017 NOA 28,571 Answer the following requirements assuming a terminal period growth rate of 2%, a discount rate (WACC) of 7.63%, common shares outstanding of 517.8 million, and net nonoperating obligations (NNO) of $11,723 million. Estimate the value of a share of Target common stock using the discounted cash flow (DCF) model as of February 2, 2019. Instructions: Round all answers to the nearest whole number, except for discount factors, shares outstanding (do not round), and stock price per share. Round discount factors to 5 decimal places. Round stock price per share to two decimal places. Do not use negative signs with any of your answers. Terminal Reported 2018 2019 2022 Period ($ millions) Increase in NOA 24,197 x Forecast Horizon 2020 2021 3,572 X 3,751 x 25,407 x 26,677 X 0.86324 0.80205 3,939 x 28,011 x 4,017 x 28,571 x 0 x 0.92911 0.74519 FCFF (NOPAT - Increase in NOA) Discount factor [1/(1+rw)t] Present value of horizon FCFF Cum. present value of horizon FCFF $ Present value of terminal FCFF 1,529 X 0.86324 x 0.80205 X 0.74519 X Total firm value 3,269 X 3,269 X 53,795 11,723 42,072 NNO $ Firm equity value Shares outstanding (millions) Stock price per share 517.8 $ 81.25