Price to Book Value (P/BV)
since 2012
Calculation
Kraft Foods Group Inc., P/BV, long-term trends, calculation
| P/BV | = | Share price1, 2, 3 | ÷ | Book value per share1 (BVPS) | BVPS1 | = | Equity1 (in millions) |
÷ | No. shares of common stock outstanding2 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Feb 19, 2015 | 8.64 | = | 64.17 | ÷ | 7.42 | 7.42 | = | 4,365 | ÷ | 587,988,695 | |
| Feb 21, 2014 | 6.33 | = | 55.09 | ÷ | 8.70 | 8.70 | = | 5,187 | ÷ | 596,311,563 | |
| Mar 21, 2013 | 8.58 | = | 51.66 | ÷ | 6.02 | 6.02 | = | 3,572 | ÷ | 593,372,593 |
Based on: 10-K (reporting date: 2014-12-27), 10-K (reporting date: 2013-12-28), 10-K (reporting date: 2012-12-29).
1 US$
2 Data adjusted for splits and stock dividends.
3 Closing price as at the filing date of Kraft Foods Group Inc. Annual Report.
The financial data reveals several notable trends in the company's key metrics over the three annual periods.
- Share Price
- The share price demonstrated a consistent upward trajectory from 51.66 US dollars in March 2013 to 64.17 US dollars by February 2015. This increase reflects a steady appreciation in market valuation over the observed time frame.
- Book Value per Share (BVPS)
- The BVPS metric showed an initial increase from 6.02 US dollars in March 2013 to 8.7 US dollars in February 2014, indicating notable growth in the company's net assets on a per-share basis. However, by February 2015, the BVPS declined to 7.42 US dollars, suggesting some contraction in book value after the prior peak.
- Price-to-Book Value Ratio (P/BV)
- The P/BV ratio decreased significantly from 8.58 in March 2013 to 6.33 in February 2014, reflecting a period in which the market price grew at a slower pace relative to book value, or the book value increased faster than the share price. Subsequently, by February 2015, the ratio rose again to 8.64, indicative of the market price increasing faster than the book value, or a reduction in book value as noted previously.
Overall, the data indicates an increase in market valuation as represented by the rising share price, contrasted with fluctuating underlying book value per share. The P/BV ratio corroborates these observations, showing compression in the middle period and expansion thereafter, pointing to changed market sentiments or fundamental shifts in asset valuation over time.
Comparison to Competitors
Kraft Foods Group Inc., P/BV, long-term trends, comparison to competitors
| Kraft Foods Group Inc. | lululemon athletica inc. | Nike Inc. | |
|---|---|---|---|
| Feb 19, 2015 | 8.64 | 6.79 | 6.23 |
| Feb 21, 2014 | 6.33 | 10.53 | 5.04 |
| Mar 21, 2013 | 8.58 | 18.13 | 4.08 |
Based on: 10-K (reporting date: 2014-12-27), 10-K (reporting date: 2013-12-28), 10-K (reporting date: 2012-12-29).
Comparison to Sector (Consumer Durables & Apparel)
Kraft Foods Group Inc., P/BV, long-term trends, comparison to sector (consumer durables & apparel)
| Kraft Foods Group Inc. | Consumer Durables & Apparel | |
|---|---|---|
| Feb 19, 2015 | 8.64 | 6.29 |
| Feb 21, 2014 | 6.33 | 5.45 |
| Mar 21, 2013 | 8.58 | 4.85 |
Based on: 10-K (reporting date: 2014-12-27), 10-K (reporting date: 2013-12-28), 10-K (reporting date: 2012-12-29).
Comparison to Industry (Consumer Discretionary)
Kraft Foods Group Inc., P/BV, long-term trends, comparison to industry (consumer discretionary)
| Kraft Foods Group Inc. | Consumer Discretionary | |
|---|---|---|
| Feb 19, 2015 | 8.64 | 5.83 |
| Feb 21, 2014 | 6.33 | 5.12 |
| Mar 21, 2013 | 8.58 | 4.39 |
Based on: 10-K (reporting date: 2014-12-27), 10-K (reporting date: 2013-12-28), 10-K (reporting date: 2012-12-29).