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For the following questions, we will use Costco Wholesale Corporation ( COST ) as our subject company. The forward dividend ( D 1 ) is

For the following questions, we will use Costco Wholesale Corporation (COST) as our subject company.
The forward dividend (D1) is 4.08. The current price (P0) is 558.05. The P/E ratio is 39.47 with an EPS of 14.14.
Assume the required return is 10%.3. COSTs Free Cash Flow (FCF) was 6.745 billion for the previous year. Their total debt is 7.803 billion. They have 442.74 million shares outstanding. The WACC is 8%. What is the value of equity (per share) using the FCF method, assuming a growth rate of 5%.

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