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The forecast for WizzAir's free cash flows for next year is provided in the table. Assume that free cash flow is paid at the end
The forecast for WizzAir's free cash flows for next year is provided in the 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 WizzAir's cash flow to remain constant at next year's level in perpetuity. The WACC for WizzAir is 10%. What is the fair price for WizzAir's shares today? Selected Financial Information WizzAir Inc. ($000s) Last Year Next Year Sales 125,600 134,799 Depreciation 2,595 3,100 EBIT 15,220 16,335 35.00% 35.00% -7,800 -9,550 Tax Rate, T Net Working Capital Net Property and Equipment Long-Term Debt Shares Outstanding 20,150 24,075 9,000 9,000 5,000 5,000 Round your answer to the nearest cent. $| 13.84 x
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