You are tasked with estimating the value of a stock. Specifically, estimate the common stocks per-share value using the free cash flow model. Use the following assumptions to perform your computation:

• Going forward, you expect free cash flows to grow at a constant rate of 4% indefinitely (no non-constant growth in the beginning).
• You project EBIT to be $3,000,000 next year.
• Their depreciation expense will be $900,000 next year. Their tax rate is 25%.
• You project their capital expenditures to be $395,000.
• They currently have $2,100,000 in net debt (debt minus cash).
• They have preferred stock, which is valued at $1,500,000. The change in net working capital is $500,000.
• You calculate the discount rate to be 8%.
• The company has 750,000 common shares outstanding.

If this stock is currently trading at $75 per share, would you recommend buying it? Provide a brief explanation for your recommendation.