A company is expected to have free cash flows of $4.4 million next year. The weighted average cost of capital is WACC = 9.2%, and the expected…

A company is expected to have free cash flows of $4.4 million next year. The weighted average cost of capital is WACC = 9.2%, and the expected constant growth rate is g = 5.8%. The company has $2 million in short-term investments, $2 million in debt, and 1 million shares. What is the stock’s current intrinsic stock price?

 

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