Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
10.11B
as of Mar 31, 2025.
We will project this out 5 years with a yearly growth
rate of
9.34%.
Starting with 10.11B and growing at 9.34%
for 5 years, we estimate Free Cash Flow will be
15.8B.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 1.53B.
We will project this out 5 year(s) with a growth rate
of -1.33%.
Estimated Diluted Shares Outstanding: 1.43B.
Step 3: Project Future Stock Price
Using a price ratio of 2.62, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(15.8B ÷ 1.43B) × 2.62 =
$28
Step 4: Project Future Dividends Paid
Forward dividend per share: $0.32.
Projected over 5 years with a growth rate of
n/a, dividends add to total shareholder return.
Expected dividends in 5 years:
$1.6.
Step 5: Discount the Projected Stock Price
Projected stock price: $28.
Including dividends, total future value: $29.6.
Discounted at 10% per
year over 5 years → Fair Value:
$18.
