Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
8.72B
as of Dec 31, 2024.
We will project this out 5 years with a yearly growth
rate of
25.56%.
Starting with 8.72B and growing at 25.56%
for 5 years, we estimate Free Cash Flow will be
27.21B.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 1.05B.
We will project this out 5 year(s) with a growth rate
of -0.03%.
Estimated Diluted Shares Outstanding: 1.05B.
Step 3: Project Future Stock Price
Using a price ratio of 63.65, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(27.21B ÷ 1.05B) × 63.65 =
$1654
Step 4: Project Future Dividends Paid
Forward dividend per share: $2.79.
Projected over 5 years with a growth rate of
38.83%, dividends add to total shareholder return.
Expected dividends in 5 years:
$31.679806244689207.
Step 5: Discount the Projected Stock Price
Projected stock price: $1654.
Including dividends, total future value: $1685.68.
Discounted at 10% per
year over 5 years → Fair Value:
$1046.
