Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
1.4B
as of Jul 31, 2025.
We will project this out 5 years with a yearly growth
rate of
9.68%.
Starting with 1.4B and growing at 9.68%
for 5 years, we estimate Free Cash Flow will be
2.23B.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 283.52M.
We will project this out 5 year(s) with a growth rate
of -1.76%.
Estimated Diluted Shares Outstanding: 259.44M.
Step 3: Project Future Stock Price
Using a price ratio of 32.33, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(2.23B ÷ 259.44M) × 32.33 =
$277
Step 4: Project Future Dividends Paid
Forward dividend per share: $1.23.
Projected over 5 years with a growth rate of
6.62%, dividends add to total shareholder return.
Expected dividends in 5 years:
$7.21891305617047.
Step 5: Discount the Projected Stock Price
Projected stock price: $277.
Including dividends, total future value: $284.22.
Discounted at 10% per
year over 5 years → Fair Value:
$176.
