Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
3.35B
as of Dec 31, 2024.
We will project this out 5 years with a yearly growth
rate of
9.34%.
Starting with 3.35B and growing at 9.34%
for 5 years, we estimate Free Cash Flow will be
5.24B.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 1.25B.
We will project this out 5 year(s) with a growth rate
of -1.62%.
Estimated Diluted Shares Outstanding: 1.15B.
Step 3: Project Future Stock Price
Using a price ratio of 7.47, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(5.24B ÷ 1.15B) × 7.47 =
$33
Step 4: Project Future Dividends Paid
Forward dividend per share: $0.33.
Projected over 5 years with a growth rate of
-12.60%, dividends add to total shareholder return.
Expected dividends in 5 years:
$1.1783180373881128.
Step 5: Discount the Projected Stock Price
Projected stock price: $33.
Including dividends, total future value: $34.18.
Discounted at 10% per
year over 5 years → Fair Value:
$21.
