Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
71.61B
as of Jun 30, 2025.
We will project this out 5 years with a yearly growth
rate of
9.62%.
Starting with 71.61B and growing at 9.62%
for 5 years, we estimate Free Cash Flow will be
113.35B.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 7.43B.
We will project this out 5 year(s) with a growth rate
of -0.57%.
Estimated Diluted Shares Outstanding: 7.22B.
Step 3: Project Future Stock Price
Using a price ratio of 39.21, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(113.35B ÷ 7.22B) × 39.21 =
$615
Step 4: Project Future Dividends Paid
Forward dividend per share: $4.23.
Projected over 5 years with a growth rate of
10.22%, dividends add to total shareholder return.
Expected dividends in 5 years:
$26.974995967658174.
Step 5: Discount the Projected Stock Price
Projected stock price: $615.
Including dividends, total future value: $641.97.
Discounted at 10% per
year over 5 years → Fair Value:
$398.
