Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
10.87B
as of Aug 31, 2025.
We will project this out 5 years with a yearly growth
rate of
7.38%.
Starting with 10.87B and growing at 7.38%
for 5 years, we estimate Free Cash Flow will be
15.52B.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 622.85M.
We will project this out 5 year(s) with a growth rate
of -0.48%.
Estimated Diluted Shares Outstanding: 608.05M.
Step 3: Project Future Stock Price
Using a price ratio of 22.47, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(15.52B ÷ 608.05M) × 22.47 =
$573
Step 4: Project Future Dividends Paid
Forward dividend per share: $7.21.
Projected over 5 years with a growth rate of
6.24%, dividends add to total shareholder return.
Expected dividends in 5 years:
$41.93971009525066.
Step 5: Discount the Projected Stock Price
Projected stock price: $573.
Including dividends, total future value: $614.94.
Discounted at 10% per
year over 5 years → Fair Value:
$381.
