You use multi-stage valuation to determine a stock's fair price. Here is a stock that JUST booked free cash flow to equity per share of $50. You expect it to grow at 5% first for 5 years, then at 2% for 10 years, and finally stays constant from then on forever. The stock has required rate of return at 12%. What is the fair price of the stock? $550 $700 $650 $600