Conduct a two-stage valuation

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Conduct a two-stage valuation. You can now combine the two items above to estimate a present value of the firm. You should calculate a high-growth phase value and a terminal value. High Growth Phase Value: For this phase, assume that in years 1 - 3 the Free Cash Flows are growing by 8% annually. Terminal Value: For this phase assume the FCF grow at a constant growth rate of 2.5%. Calculate the present values of the above phases and add them together for the total present value of the company. The WACC is 11.17 Tax Rate is 22.2% Free Cash Flow is 17,724,000

Reference no: EM131491716

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