Step 1: Project Free Cash Flow
The most recent Free Cash Flow (TTM) value is
6.08B
as of Jul 31, 2025.
We will project this out 5 years with a yearly growth
rate of
21.72%.
Starting with 6.08B and growing at 21.72%
for 5 years, we estimate Free Cash Flow will be
16.25B.
Step 2: Project Future Diluted Shares Outstanding
The most recent Diluted Shares Outstanding value is 278.81M.
We will project this out 5 year(s) with a growth rate
of 1.4%.
Estimated Diluted Shares Outstanding: 298.88M.
Step 3: Project Future Stock Price
Using a price ratio of 36.98, formula: (Future Free Cash Flow ÷ Future Diluted Shares Outstanding)
× Price Ratio
(16.25B ÷ 298.88M) × 36.98 =
$2010
Step 4: Project Future Dividends Paid
Forward dividend per share: $5.36.
Projected over 5 years with a growth rate of
14.66%, dividends add to total shareholder return.
Expected dividends in 5 years:
$37.72807420698243.
Step 5: Discount the Projected Stock Price
Projected stock price: $2010.
Including dividends, total future value: $2047.73.
Discounted at 10% per
year over 5 years → Fair Value:
$1271.
