Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
1.13B
as of Dec 31, 2024.
We will project this out 5 years with a yearly growth
rate of
5.1%.
Starting with 1.13B and growing at 5.1%
for 5 years, we estimate Free Cash Flow will be
1.45B.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 71.23M.
We will project this out 5 year(s) with a growth rate
of 0%.
Estimated Diluted Shares Outstanding: 71.23M.
Step 3: Project Future Stock Price
Using a price ratio of 2.32, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(1.45B ÷ 71.23M) × 2.32 =
$47
Step 4: Project Future Dividends Paid
Forward dividend per share: $0.71.
Projected over 5 years with a growth rate of
-0.62%, dividends add to total shareholder return.
Expected dividends in 5 years:
$3.4952306016495864.
Step 5: Discount the Projected Stock Price
Projected stock price: $47.
Including dividends, total future value: $50.5.
Discounted at 10% per
year over 5 years → Fair Value:
$31.
