Assume that today is December 31, 2005, and the following information applies to Vermeil Airlines:

• After-tax operating income [EBIT(1 - T), also called NOPAT] for 2006 is expected to be $500 million.

• The depreciation expense for 2006 is expected to be $100 million.

• The capital expenditures for 2006 are expected to be $200 million.

• No change is expected in net operating working capital.

• The free cash flow is expected to grow at a constant rate of 6 percent per year. 

• The required return on equity is 14 percent.

• The WACC is 10 percent.

• The market value of the company’s debt is $3 billion.

• 200 million shares of stock are outstanding.

Using the free cash flow approach, what should the company’s stock price be today?