Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
1.3B
as of Jun 28, 2025.
We will project this out 5 years with a yearly growth
rate of
3.06%.
Starting with 1.3B and growing at 3.06%
for 5 years, we estimate Free Cash Flow will be
1.51B.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 354.75M.
We will project this out 5 year(s) with a growth rate
of -0.55%.
Estimated Diluted Shares Outstanding: 345.1M.
Step 3: Project Future Stock Price
Using a price ratio of 7.3, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(1.51B ÷ 345.1M) × 7.3 =
$31
Step 4: Project Future Dividends Paid
Forward dividend per share: $2.
Projected over 5 years with a growth rate of
3.24%, dividends add to total shareholder return.
Expected dividends in 5 years:
$10.829788861861346.
Step 5: Discount the Projected Stock Price
Projected stock price: $31.
Including dividends, total future value: $41.83.
Discounted at 10% per
year over 5 years → Fair Value:
$25.
