Reference no: EM132485801
Scampini Technologies is expected to generate $50 million in free cash flow next year, and FCF is expected to grow at a constant rate of 8% per year indefinitely. Scampini has no debt or preferred stock, and its WACC is 15%. If Scampini has 60 million shares of stock outstanding,
Question 1: what is the stock's value per share? Do not round intermediate calculations. Round your answer to the nearest cent.
Earlev Corporation issued perpetual preferred stock with an 11% annual dividend. The stock currently yields 6%, and its par value is 5100. Round your answers to the nearest cent.
Question a. What is the stock's value?
Question b. Suppose interest rates rise and pull the preferred stock's yield up to 15%. What is its new market value?
Maxwell Mining Company's ere reserves are being depleted, so its sales are falling. Also, because its pit is getting deeper each year, its mats are rising. As a result, the company's earnings and dividends are declining at the constant rate of 10% per year. If Do = $3 and rs = 16%,
Question: What is the Value of Maxwell Mining's stack?