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Heavy Metal Corporation is expected to generate the following free cash flows over the next five years: Year 1 2 3 4 5 FCF ($

Heavy Metal Corporation is expected to generate the following free cash flows over the next five years:

Year 1 2 3 4 5
FCF ($ Million) 51.6 67.2 78.2 74.9 80.4

After that, the free cash flows are expected to grow at the industry average of 4.3% per year. Using the discounted free cash flow model and a weighted average cost of capital of 13.9%:

a. Estimate the enterprise value of Heavy Metal.

b. If Heavy Metal has no excess cash, debt of $314 million, and 42 million shares outstanding, estimate its share price.

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