Starting with your identified 2019 level of revenue, you expect that revenue will increase by 10% in 2020. You anticipate annual revenue growth will slow by 1% per year to the long-run industry growth rate of 5% by 2025. You expect EBIT to be 12.5% of sales each year. You expect any increase in net working capital requirements each year to be 10% of any year-on-year annual increases in revenue. You expect capital expenditures to equal depreciation expenses in each year. Nikes Tax rate is 20%. Nikes weighted average cost of capital (WACC) is 9%.

Case 1 - Suppose you believe Nike's initial revenue growth rate in 2020 will be between 8% and 14% (with growth slowing linearly to 5% by year 2025). What range of prices for Nike stock is consistent with these forecasts? Case 2 Beginning again with your base case assumptions, suppose you believe Nike's initial EBIT margin (as a % of revenue) will be between 9% and 14% of revenue. What range of prices for Nike stock is consistent with these forecasts? Case 3 Beginning again with your base case assumptions, you observe that similar companies in the apparel industry have WACCs ranging from 7.5% to 10%. What range of prices for Nike stock is consistent with these forecasts? Case 4 - What range of stock prices is consistent if you vary the estimates in cases 1 3 simultaneously? Put another way, what is the range of stock prices you might expect if the worst/best case scenarios occur from each of the previous three cases simultaneously.

5) Nike, Inc.'s total number of equity shares outstanding is ____ million shares. (round your answer to the nearest million)

6) Forecast Nike's free cash flow (FCF) each year from 2020 to 2025: (please round all answers to ONE decimal point)