3. Heavy Metal Corporation is expected to generate the following free cash flows over the next five years: 1 2 3 4 5 Year FCF ($ million) 54.868.279.273.183.2 Thereafter, the free cash flows are expected to grow at the industry average of 4.4% per year. Using the discounted free cash flow model and a weighted average cost of capital of 14.4%: a. b. Estimate the enterprise value of Heavy Metal. If Heavy Metal has no excess cash, debt of $295 million, and 45 million shares outstanding, estimate its share price.

Heavy Metal Corporation is expected to generate the following free cash flows over the next five​ years: Year                          1                2                3            4               5 ​ FCF​ ($ million)      51.1             69.2           78.8       76.4            80.1 After​ that, the free cash flows are expected to grow at the industry average of 3.9% per year. Using the discounted free cash flow model and a weighted average cost of capital of 13.5%​: Estimate the enterprise value of Heavy Metal. (Round to two decimal​places.) If Heavy Metal has no excess​ cash, debt of $285 million, and 43 million shares​ outstanding, estimate its share price. (Round to two decimal​places.)

You are evaluating Adidas and expect it to generate the following free cash flows over your forecast​ horizon:   Year 1 2 3 4 5 FCF​ ($ millions) 53.1 66.9 77.8 75.5 82.1   After your forecast​ horizon, you expect FCF to grow at 4.3% per year forever. If the weighted average cost of capital​ (dsicount rate) is 13.8%​, what is​: a. The enterprise value of Adidas. b. Assume Adidas has no excess​ cash, debt of $318 ​million, and 39 million shares​ outstanding, what is its stock​ price?       Question content area bottom Part 1 a. The enterprise value will be ​$enter your response here million. ​ (Round to two decimal​ places.)   b. The stock price will be ​$enter your response here. ​(Round to two decimal​ places.)

You expect ATM Corporation to generate the following free cash flows over the next five years:   Year 1 2 3 4 5 FCF ($ millions) 75 84 96 111 120   Beginning with year six, you estimate that ATMʹs free cash flows will grow at 6% per year and that ATMʹs weighted average cost of capital is 15%. The enterprise value of ATM corporation is closest to:   A. $1017.66 million   B. $314.98 million   C. $1413.33 million   D. $702.67 million

The free cash flows (in millions) shown below are forecast by Simmons Inc. If the weighted average cost of capital is 13% and the free cash flows are expected to continue growing at the same rate after Year 3 as from Year 2 to Year 3, what is the Year 0 value of operations, in millions? Years 1 2 3 Free cash flow: Year 1- $-20, Year 2- $42, Year 3- $45

Fauji Fertilizer Corporation expects to generate following free cashflows in coming 5 years.   Year 1 2 3 4 5 FCF (Rs. Million) 51 70 77 72 80   After this time period, the free cashflows will grow constantly at 3% per year. The firm’s cost of capital is 13%. Using the discounted free cashflow model, calculate the following. What is the enterprise value of Fauji Fertilizer Ltd?  If Fauji Fertilizer have access cash of Rs. 32 million, debt of Rs. 280 million, and the 40 million shares outstanding and trading in the market, what should be the expected share price of Fauji Fertilizer?  c. Suppose that the stocks of Fauji Fertilizer are being sold in the market at Rs. 12 per share. Will you buy that stock? why or why not?

Fauji Fertilizer Corporation expects to generate following free cashflows in coming 5 years.   Year 1 2 3 4 5 FCF (Rs. Million) 51 70 77 72 80   After this time period, the free cashflows will grow constantly at 3% per year. The firm’s cost of capital is 13%. Using the discounted free cashflow model, calculate the following. What is the enterprise value of Fauji Fertilizer Ltd?  If Fauji Fertilizer have access cash of Rs. 32 million, debt of Rs. 280 million, and the 40 million shares outstanding and trading in the market, what should be the expected share price of Fauji Fertilizer?  Suppose that the stocks of Fauji Fertilizer are being sold in the market at Rs. 12 per share. Will you buy that stock? why or why not?

The free cash flows (in millions) shown below are forecast by Simmons Inc. If the weighted average cost of capital is 13% and the free cash flows are expected to continue growing at the same rate after Year 3 as from Year 2 to Year 3, what is the Year 0 value of operations, in millions? Year: 1 Free Cash Flow: -$20, Year 2 Free Cash Flow: $44, Year 3 Free Cah Flow: $47.

HappyTunes Inc. forecasts the free cash flows (in millions) shown below. The weighted average cost of capital is 11.75%, the cost of equity is 19.25%, and the FCFs are expected to continue growing at a 5.25% rate after Year 5. Assuming that the ROIC is expected to remain constant in Year 5 and beyond, what is the Year O value of operations? Year: 1 2 3 4 5 Free cash flow: -$995 $15 $55 $80 $125 O-$310.32 million O $387.53 million O $139.31 million $445.46 million O-$176.72 milli

Suppose Leonard, Nixon, & Shull Corporation’s projected free cash flow (FCF) for next year is $750,000, and FCF is expected to grow at a constant rate of 4% indefinitely.  If the company’s weighted average cost of capital is 10%, what is the value of its operations?   a. $18,750,000   b. $12,500,000   c. $7,500,000   d. $13,000,000   e. $10,833,333