Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
1.79B
as of Jun 30, 2025.
We will project this out 5 years with a yearly growth
rate of
9.75%.
Starting with 1.79B and growing at 9.75%
for 5 years, we estimate Free Cash Flow will be
2.85B.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 161.97M.
We will project this out 5 year(s) with a growth rate
of -4%.
Estimated Diluted Shares Outstanding: 132.07M.
Step 3: Project Future Stock Price
Using a price ratio of 11.89, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(2.85B ÷ 132.07M) × 11.89 =
$256
Step 4: Project Future Dividends Paid
Forward dividend per share: $2.5.
Projected over 5 years with a growth rate of
10.76%, dividends add to total shareholder return.
Expected dividends in 5 years:
$16.13865659867709.
Step 5: Discount the Projected Stock Price
Projected stock price: $256.
Including dividends, total future value: $272.14.
Discounted at 10% per
year over 5 years → Fair Value:
$168.
