This is the table I have:
I want to use the $FCFF$ to calculate the stock price, when I did this using the $DDM$ I got $£16$ as the stock price.
I've never used FCFF before but I know there are a few versions of the FCFF formula and picking the right one to use is crucial. There were two FCFF formulas I thought might work:
$FCFF$ = Net income + Non cash charges + (Interest * (1-Tax rate)) - Long term Investments - Investments in working capital
$FCFF$ = Cash flow from operations + (Interest Expense * (1-Tax rate)) - Capital expenditures
I'm not certain either of these are correct and if they are I'm not sure how to apply them.
This is my first time using $FCFF$ so if anyone could offer any support or guidance I would really appreciate it, thanks.