Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
13.4B
as of Jun 30, 2025.
We will project this out 5 years with a yearly growth
rate of
5.72%.
Starting with 13.4B and growing at 5.72%
for 5 years, we estimate Free Cash Flow will be
17.7B.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 2.67B.
We will project this out 5 year(s) with a growth rate
of -0.97%.
Estimated Diluted Shares Outstanding: 2.54B.
Step 3: Project Future Stock Price
Using a price ratio of 38.9, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(17.7B ÷ 2.54B) × 38.9 =
$270
Step 4: Project Future Dividends Paid
Forward dividend per share: $1.59.
Projected over 5 years with a growth rate of
12.84%, dividends add to total shareholder return.
Expected dividends in 5 years:
$10.752880573781768.
Step 5: Discount the Projected Stock Price
Projected stock price: $270.
Including dividends, total future value: $280.75.
Discounted at 10% per
year over 5 years → Fair Value:
$174.
