What the value of one share of trixter common stock

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Trixter Manufacturing is expected to have Free Cash Flow of $110 million next year (for simplicity, assume that this cash flow will be realized exactly one year from today). Investors expect Trixter's FCFs to grow at 4% per year, forever. Trixter has a WACC of 8%, outstanding debt of $1 billion, outstanding preferred stock of $500 million, and 20 million shares of outstanding common stock. What's the value of one share of Trixter common stock?

Reference no: EM131991299

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