Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
5.41B
as of Jun 30, 2025.
We will project this out 5 years with a yearly growth
rate of
15.9%.
Starting with 5.41B and growing at 15.9%
for 5 years, we estimate Free Cash Flow will be
11.32B.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 305.3M.
We will project this out 5 year(s) with a growth rate
of 4.78%.
Estimated Diluted Shares Outstanding: 385.58M.
Step 3: Project Future Stock Price
Using a price ratio of 33.92, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(11.32B ÷ 385.58M) × 33.92 =
$995
Step 4: Project Future Dividends Paid
Forward dividend per share: $4.75.
Projected over 5 years with a growth rate of
7.46%, dividends add to total shareholder return.
Expected dividends in 5 years:
$28.430251694724447.
Step 5: Discount the Projected Stock Price
Projected stock price: $995.
Including dividends, total future value: $1023.43.
Discounted at 10% per
year over 5 years → Fair Value:
$635.
