Bullseye Corp. does not pay dividends. As an analyst for the company, you are trying to assess the stock price and realize you cannot use the dividend discount model because of the lack of dividend payment.

For the coming year, you estimate the following based upon past performance and current conditions:

EBIT of $500,000 Depreciation of $250,000 Tax rate of 21% Change in NWC of $100,000 Capital Expenditures of $350,000 Market Value of Debt of $3,000,000 Excess Cash of $250,000 100,000 shares outstanding W ACC=10.9% Expected growth in free cash flows of: o Year 2 and Year 3: 10% o Year 4 and beyond: 5%

What is the your estimate for Bullseyes stock price?