Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
1.56B
as of Dec 31, 2024.
We will project this out 5 years with a yearly growth
rate of
-14.7%.
Starting with 1.56B and growing at -14.7%
for 5 years, we estimate Free Cash Flow will be
702.54M.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 1.9B.
We will project this out 5 year(s) with a growth rate
of 15.36%.
Estimated Diluted Shares Outstanding: 3.87B.
Step 3: Project Future Stock Price
Using a price ratio of 25.89, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(702.54M ÷ 3.87B) × 25.89 =
$4
Step 4: Project Future Dividends Paid
Forward dividend per share: $1.76.
Projected over 5 years with a growth rate of
5.75%, dividends add to total shareholder return.
Expected dividends in 5 years:
$10.12007223146006.
Step 5: Discount the Projected Stock Price
Projected stock price: $4.
Including dividends, total future value: $14.12.
Discounted at 10% per
year over 5 years → Fair Value:
$8.
