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Heavy Metal Corporation is expected to generate the following free cash flows over the next five years: 2 3 4 5 82.9 Year 1 FCF
Heavy Metal Corporation is expected to generate the following free cash flows over the next five years: 2 3 4 5 82.9 Year 1 FCF ($ milion) 51.2 69.4 76.5 73.5 Thereafter, the free cash flows are expected to grow at the industry average of 3.5% per year. Using the discounted free cash flow model and a weighted average cost of capital of 14.9% a. Estimate the enterprise value of Heavy Metal. b. I Heavy Metal has no excess cash, debt of $289 million, and 37 million shares outstanding, estimate its share price. Estimate the enterprise value of Heavy Metal The enterprise value will be $ million (Round to two decimal places.)
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