Levered, Inc., and Unlevered, Inc., are identical in every way except their capital structures. Each company expects to earn $235,000 before interest per year in perpetuity, with each company distributing all its earnings as dividends. Levered’s perpetual debt has a market value of $290,000 and costs 8 percent per year. Levered has 18,000 shares outstanding, currently worth $64 per share. Unlevered has no debt and 23,000 shares outstanding, currently worth $66 per share. Neither firm pays taxes. Is Levered’s stock a better buy than Unlevered’s stock?