Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
9.44B
as of Jun 30, 2024.
We will project this out 5 years with a yearly growth
rate of
0%.
Starting with 9.44B and growing at 0%
for 5 years, we estimate Free Cash Flow will be
9.44B.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 21.22B.
We will project this out 5 year(s) with a growth rate
of -0.11%.
Estimated Diluted Shares Outstanding: 21.1B.
Step 3: Project Future Stock Price
Using a price ratio of 2.24, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(9.44B ÷ 21.1B) × 2.24 =
$1
Step 4: Project Future Dividends Paid
Forward dividend per share: $0.06.
Projected over 5 years with a growth rate of
42.25%, dividends add to total shareholder return.
Expected dividends in 5 years:
$0.7240222994104494.
Step 5: Discount the Projected Stock Price
Projected stock price: $1.
Including dividends, total future value: $1.72.
Discounted at 10% per
year over 5 years → Fair Value:
$1.
