Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
4.79B
as of Dec 31, 2024.
We will project this out 5 years with a yearly growth
rate of
6.32%.
Starting with 4.79B and growing at 6.32%
for 5 years, we estimate Free Cash Flow will be
6.51B.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 280.02M.
We will project this out 5 year(s) with a growth rate
of -0.31%.
Estimated Diluted Shares Outstanding: 275.71M.
Step 3: Project Future Stock Price
Using a price ratio of 12.3, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(6.51B ÷ 275.71M) × 12.3 =
$290
Step 4: Project Future Dividends Paid
Forward dividend per share: $2.93.
Projected over 5 years with a growth rate of
14.18%, dividends add to total shareholder return.
Expected dividends in 5 years:
$20.408576860550532.
Step 5: Discount the Projected Stock Price
Projected stock price: $290.
Including dividends, total future value: $310.41.
Discounted at 10% per
year over 5 years → Fair Value:
$192.
