Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
15.19B
as of Jul 31, 2025.
We will project this out 5 years with a yearly growth
rate of
-2.74%.
Starting with 15.19B and growing at -2.74%
for 5 years, we estimate Free Cash Flow will be
13.22B.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 7.97B.
We will project this out 5 year(s) with a growth rate
of -1.25%.
Estimated Diluted Shares Outstanding: 7.49B.
Step 3: Project Future Stock Price
Using a price ratio of 39.94, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(13.22B ÷ 7.49B) × 39.94 =
$70
Step 4: Project Future Dividends Paid
Forward dividend per share: $1.15.
Projected over 5 years with a growth rate of
5.48%, dividends add to total shareholder return.
Expected dividends in 5 years:
$6.570420237572113.
Step 5: Discount the Projected Stock Price
Projected stock price: $70.
Including dividends, total future value: $76.57.
Discounted at 10% per
year over 5 years → Fair Value:
$47.
