Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
1.02B
as of Jan 31, 2025.
We will project this out 5 years with a yearly growth
rate of
-60.2%.
Starting with 1.02B and growing at -60.2%
for 5 years, we estimate Free Cash Flow will be
10.19M.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 62.4M.
We will project this out 5 year(s) with a growth rate
of 0%.
Estimated Diluted Shares Outstanding: 62.4M.
Step 3: Project Future Stock Price
Using a price ratio of 41.16, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(10.19M ÷ 62.4M) × 41.16 =
$6
Step 4: Project Future Dividends Paid
Forward dividend per share: $0.
Projected over 5 years with a growth rate of
n/a, dividends add to total shareholder return.
Expected dividends in 5 years:
$0.
Step 5: Discount the Projected Stock Price
Projected stock price: $6.
Including dividends, total future value: $6.
Discounted at 10% per
year over 5 years → Fair Value:
$3.
