Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
859M
as of Feb 28, 2025.
We will project this out 5 years with a yearly growth
rate of
-13.7%.
Starting with 859M and growing at -13.7%
for 5 years, we estimate Free Cash Flow will be
411.19M.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 582.64M.
We will project this out 5 year(s) with a growth rate
of -0.79%.
Estimated Diluted Shares Outstanding: 559.99M.
Step 3: Project Future Stock Price
Using a price ratio of 14.47, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(411.19M ÷ 559.99M) × 14.47 =
$10
Step 4: Project Future Dividends Paid
Forward dividend per share: $1.16.
Projected over 5 years with a growth rate of
-2.04%, dividends add to total shareholder return.
Expected dividends in 5 years:
$5.508710313003634.
Step 5: Discount the Projected Stock Price
Projected stock price: $10.
Including dividends, total future value: $15.51.
Discounted at 10% per
year over 5 years → Fair Value:
$9.
