Hanes Brands (HB), a stable and mature company, generated $471.6 million in unlevered free cash...
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Hanes Brands (HB), a stable and mature company, generated $471.6 million in unlevered free cash flow last year. Going forward you expect HB to grow at a 2.0% annual rate in perpetuity. HB has total debt of $3,742.0 million in total debt and excess cash of $684.0 million. The current risk free rate is 3.70%, and the expected equity market risk premium is 5.00%. HB has a beta of 1.64,348.6 million shares of stock outstanding and a 7.95% weighted average cost of capital. What is HB's implied intrinsic value per share? \begin{tabular}{|} $14.42 \\ \hline$5.17 \\ \hline$23.19 \end{tabular} None of the answers are correct
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