Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
1.19B
as of Dec 31, 2024.
We will project this out 5 years with a yearly growth
rate of
13.57%.
Starting with 1.19B and growing at 13.57%
for 5 years, we estimate Free Cash Flow will be
2.25B.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 1.43B.
We will project this out 5 year(s) with a growth rate
of 11.54%.
Estimated Diluted Shares Outstanding: 2.47B.
Step 3: Project Future Stock Price
Using a price ratio of 21.59, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(2.25B ÷ 2.47B) × 21.59 =
$19
Step 4: Project Future Dividends Paid
Forward dividend per share: $0.52.
Projected over 5 years with a growth rate of
13.25%, dividends add to total shareholder return.
Expected dividends in 5 years:
$3.54869663486663.
Step 5: Discount the Projected Stock Price
Projected stock price: $19.
Including dividends, total future value: $22.55.
Discounted at 10% per
year over 5 years → Fair Value:
$14.
