Question $7[40$ points$]$

As a newly hired equity analyst, you are assigned to value SlowMove Inc. You gather the following information from the company's financial statements:

Operating cash flow $($EBIT$)$ for next year is expected to be $$4,500$ million. It is expected that $$250$ million will be invested in new fixed assets and another $$500$ million in net working capital. Depreciation for next year will be $$1,200$ million. Corporate tax rate is $21\%.$

After the next year, free cash flows to the firm are expected to grow at $10\%$ per year for the following $2$ years, then stabilize at $3\%$ per year thereafter.

The firm has $$12$ billion outstanding debt, and $1$ billion shares outstanding. SlowMove stock is currently trading at $$48$ per share. The firm pays a $7\%$ interest rate on its debts. Current risk$-$free rate is $3\%$ and the market risk premium is $6\%.$ The firm's equity beta is $1\mathrm{.}25.$

Estimate the intrinsic value per share of SlowMove. What is your recommendation for this stock $($Buy$/$Hold$/$Sell$)?$