The companys wacc is 12 calculate stms value of


STM enterprises has never paid a dividend. Free cash flow is projected to be $70,000 and $110,000 for the next 2 years, respectfully; after the second year, FCF is expected to grow at a constant rate of 9%. The company's WACC is 12%. Calculate STM’s value of operations. (Hint: you will need to calculate the horizon value from Year 2 forward).

Request for Solution File

Ask an Expert for Answer!!
Financial Management: The companys wacc is 12 calculate stms value of
Reference No:- TGS02306313

Expected delivery within 24 Hours