Question
Find the share value for a company with the following information: Free cash flow in 2021 is expected to be $19,000 Free cash flow in
Find the share value for a company with the following information:
Free cash flow in 2021 is expected to be $19,000
Free cash flow in 2022 is expected to be $19,500
Free cash flow in 2023 is expected to be $20,800
Estimated growth rate of cash flows beyond 2022 = 2.85%
The companys WACC is 8.5%, and they have $75,000 of debt
The company has 20,000 shares outstanding
They pay quarterly dividends of $.18
Other companies are selling at P/E ratios of 14 times
What is the share value using the free cash flow valuation method?
What is the share value using another valuation method?
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Meetings Expositions Events And Conventions An Introduction To The Industry
Authors: George G. Fenich
4th Global Edition
1292093765, 9781292093765
