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Wilbur and Orville are brothers. They're both serious investors, but they have different approaches to valuing stocks. Wilbur, the older brother, likes to use the
Wilbur and Orville are brothers. They're both serious investors, but they have different approaches to valuing stocks. Wilbur, the older brother, likes to use the dividend valuation model. Orville prefers the free cash flow to equity valuation model. As it turns out, right now, both of them are looking at the same stockWright First Aerodynmaics, Inc. WFA The company has been listed on the NYSE for over years and is widely regarded as a mature, rocksolid, dividendpaying stock. The brothers have gathered the following information about WFA's stock:
Current dividend $ share
Current free cash flow $ million
Expected growth rate of dividends and cash flows
Required rate of return
Shares outstanding shares
How would Wilbur and Orville each value this stock?
The stock price from Wilbur's valuation is $ Round to the nearest cent.
PLEASE ANSWER FOR BOTH WILBUR AND ORVILLE!!
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