Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
524M
as of Dec 31, 2024.
We will project this out 5 years with a yearly growth
rate of
3.71%.
Starting with 524M and growing at 3.71%
for 5 years, we estimate Free Cash Flow will be
628.69M.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 611.82M.
We will project this out 5 year(s) with a growth rate
of 2.55%.
Estimated Diluted Shares Outstanding: 693.9M.
Step 3: Project Future Stock Price
Using a price ratio of 5.93, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(628.69M ÷ 693.9M) × 5.93 =
$5
Step 4: Project Future Dividends Paid
Forward dividend per share: $0.42.
Projected over 5 years with a growth rate of
44.97%, dividends add to total shareholder return.
Expected dividends in 5 years:
$5.31391547394863.
Step 5: Discount the Projected Stock Price
Projected stock price: $5.
Including dividends, total future value: $10.31.
Discounted at 10% per
year over 5 years → Fair Value:
$6.
