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Homework answers / question archive / TRX Corporation is expected to generate free cash flows (FCF) of $6
TRX Corporation is expected to generate free cash flows (FCF) of $6.45 million in year 1, $8.78 million in year 2, $11.15 million in year 3, and $15.54 million in year 4. After then, the FCF will grow by 3% per year. TRX has 10 million shares outstanding, $4 million in excess cash, and it has $2 million in debt. If its cost of capital is 7%, the stock price would be $________? Input your answer without the $ sign and round your answer to two decimal places.
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