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Heavy Metal Corporation is expected to generate the following free cash flows over the next five years: | - Year FCF ($ million) 1 51.6
Heavy Metal Corporation is expected to generate the following free cash flows over the next five years: | - Year FCF ($ million) 1 51.6 2 66.7 3 78. 8 4 7 6.4 5 82.1 Thereafter, the free cash flows are expected to grow at the industry average of 3.9% per year. Using the discounted free cash flow model and a weighted average cost of capital of 13.3%: a. Estimate the enterprise value of Heavy Metal. b. If Heavy Metal has no excess cash, debt of $295 million, and 37 million shares outstanding, estimate its share price
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