Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
4.99B
as of Sep 30, 2024.
We will project this out 5 years with a yearly growth
rate of
2.92%.
Starting with 4.99B and growing at 2.92%
for 5 years, we estimate Free Cash Flow will be
5.76B.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 845.73M.
We will project this out 5 year(s) with a growth rate
of -1.76%.
Estimated Diluted Shares Outstanding: 773.88M.
Step 3: Project Future Stock Price
Using a price ratio of 9.63, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(5.76B ÷ 773.88M) × 9.63 =
$71
Step 4: Project Future Dividends Paid
Forward dividend per share: $2.72.
Projected over 5 years with a growth rate of
-3.80%, dividends add to total shareholder return.
Expected dividends in 5 years:
$12.344587673439568.
Step 5: Discount the Projected Stock Price
Projected stock price: $71.
Including dividends, total future value: $83.34.
Discounted at 10% per
year over 5 years → Fair Value:
$51.
