Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
2.34B
as of Dec 31, 2024.
We will project this out 5 years with a yearly growth
rate of
10.63%.
Starting with 2.34B and growing at 10.63%
for 5 years, we estimate Free Cash Flow will be
3.88B.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 2.22B.
We will project this out 5 year(s) with a growth rate
of -1.09%.
Estimated Diluted Shares Outstanding: 2.1B.
Step 3: Project Future Stock Price
Using a price ratio of 30.65, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(3.88B ÷ 2.1B) × 30.65 =
$56
Step 4: Project Future Dividends Paid
Forward dividend per share: $1.03.
Projected over 5 years with a growth rate of
2.51%, dividends add to total shareholder return.
Expected dividends in 5 years:
$5.479271404260718.
Step 5: Discount the Projected Stock Price
Projected stock price: $56.
Including dividends, total future value: $61.48.
Discounted at 10% per
year over 5 years → Fair Value:
$38.
