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The forecast for Snow Globe Emporium's free cash flows for next year is provided in the accompanying table. Assume that free cash flow is paid
The forecast for Snow Globe Emporium's free cash flows for next year is provided in the accompanying table. Assume that free cash flow is paid at the end of each year and we are at the beginning of a year. Last year's values are for the year-end yesterday. Analysts expect Snow Globe's cash flow to remain constant at next year's level in perpetuity. The WACC for Snow Globe is 13%. What is the fair price for Snow Globe's shares today? Click the icon to view financial information for Snow Globe Emporium Inc. 1. The fair price for each of Snow Globe's shares today is $ (Round to the nearest cent as needed.) Financial Information Selected Financial Information Snow Globe Emporium Inc. (in thousands) Last Year Next Year Operating Cash Flow $122,545 $126,978 Net Working Capital - $39,592 - $41,751 CAPEX $13,548 $24,095 Debt $167,116 $199,112 Shares Outstanding 20,000 20,000 Print Done The forecast for Snow Globe Emporium's free cash flows for next year is provided in the accompanying table. Assume that free cash flow is paid at the end of each year and we are at the beginning of a year. Last year's values are for the year-end yesterday. Analysts expect Snow Globe's cash flow to remain constant at next year's level in perpetuity. The WACC for Snow Globe is 13%. What is the fair price for Snow Globe's shares today? Click the icon to view financial information for Snow Globe Emporium Inc. 1. The fair price for each of Snow Globe's shares today is $ (Round to the nearest cent as needed.) Financial Information Selected Financial Information Snow Globe Emporium Inc. (in thousands) Last Year Next Year Operating Cash Flow $122,545 $126,978 Net Working Capital - $39,592 - $41,751 CAPEX $13,548 $24,095 Debt $167,116 $199,112 Shares Outstanding 20,000 20,000 Print Done
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