Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
407.25M
as of Dec 31, 2024.
We will project this out 5 years with a yearly growth
rate of
1.97%.
Starting with 407.25M and growing at 1.97%
for 5 years, we estimate Free Cash Flow will be
448.98M.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 395.19M.
We will project this out 5 year(s) with a growth rate
of -2.25%.
Estimated Diluted Shares Outstanding: 352.69M.
Step 3: Project Future Stock Price
Using a price ratio of 39.61, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(448.98M ÷ 352.69M) × 39.61 =
$50
Step 4: Project Future Dividends Paid
Forward dividend per share: $0.37.
Projected over 5 years with a growth rate of
7.34%, dividends add to total shareholder return.
Expected dividends in 5 years:
$2.208389663749237.
Step 5: Discount the Projected Stock Price
Projected stock price: $50.
Including dividends, total future value: $52.21.
Discounted at 10% per
year over 5 years → Fair Value:
$32.
