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You have been assigned the task of using the corporate valuation model to estimate Thorpe Corporation's intrinsic value. Thorpe's WACC is 10%, its end-of-year free
You have been assigned the task of using the corporate valuation model to estimate Thorpe Corporation's intrinsic value. Thorpe's WACC is 10%, its end-of-year free cash flow (FCF) is expected to be $75 million, the FCF's are expected to grow at a constant rate of 5.5% per year in the future, the company has $400 million of long-term debt plus preferred stock, and it has 50 million shares of common stock outstanding. What is the company's estimated intrinsic value per share of common stock
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