Kraft Foods Group Inc., FCFE calculation

US$ in millions

12 months ended:	Dec 27, 2014	Dec 28, 2013	Dec 29, 2012
Net earnings	1,043)	2,715)	1,642)
Net noncash charges	1,212)	(761)	1,249)
Change in assets and liabilities	(235)	89)	144)
Net cash provided by operating activities	2,020)	2,043)	3,035)
Capital expenditures	(535)	(557)	(440)
Proceeds from sale of property, plant and equipment	2)	131)	18)
Long-term debt proceeds	—)	—)	5,963)
Free cash flow to equity (FCFE)	1,487)	1,617)	8,576)

Based on: 10-K (reporting date: 2014-12-27), 10-K (reporting date: 2013-12-28), 10-K (reporting date: 2012-12-29).

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Item	Description	The company
FCFE	Free cash flow to equity is the cash flow available to Kraft Foods Group Inc. equity holders after all operating expenses, interest, and principal payments have been paid and necessary investments in working and fixed capital have been made.	Kraft Foods Group Inc. FCFE decreased from 2012 to 2013 and from 2013 to 2014.

Kraft Foods Group Inc., current P/FCFE calculation, comparison to benchmarks

No. shares of common stock outstanding	591,940,002
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions)	1,487)
FCFE per share	2.51
Current share price (P)	85.88
Valuation Ratio
P/FCFE	34.19
Benchmarks
P/FCFE, Competitors¹
lululemon athletica inc.	26.51
Nike Inc.	31.88

Based on: 10-K (reporting date: 2014-12-27).

¹ Click competitor name to see calculations.

If the company P/FCFE is lower then the P/FCFE of benchmark then company is relatively undervalued.
Otherwise, if the company P/FCFE is higher then the P/FCFE of benchmark then company is relatively overvalued.

Kraft Foods Group Inc., historical P/FCFE calculation, comparison to benchmarks

	Dec 27, 2014	Dec 28, 2013	Dec 29, 2012
No. shares of common stock outstanding¹	587,988,695	596,311,563	593,372,593
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions)²	1,487)	1,617)	8,576)
FCFE per share³	2.53	2.71	14.45
Share price^1, 4	64.17	55.09	51.66
Valuation Ratio
P/FCFE⁵	25.37	20.32	3.57
Benchmarks
P/FCFE, Competitors⁶
lululemon athletica inc.	—	—	—
Nike Inc.	—	—	—

Based on: 10-K (reporting date: 2014-12-27), 10-K (reporting date: 2013-12-28), 10-K (reporting date: 2012-12-29).

¹ Data adjusted for splits and stock dividends.

² See details »

³ 2014 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= 1,487,000,000 ÷ 587,988,695 = 2.53

⁴ Closing price as at the filing date of Kraft Foods Group Inc. Annual Report.

⁵ 2014 Calculation
P/FCFE = Share price ÷ FCFE per share
= 64.17 ÷ 2.53 = 25.37

⁶ Click competitor name to see calculations.

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Valuation ratio	Description	The company
P/FCFE	Price to free cash flow to equity is cash valuation indicator of stockholders’ equity.	Kraft Foods Group Inc. P/FCFE ratio increased from 2012 to 2013 and from 2013 to 2014.

Kraft Foods Group Inc. (NASDAQ:KRFT)

Price to FCFE (P/FCFE)

Free Cash Flow to Equity (FCFE)

Price to FCFE Ratio, Current

Price to FCFE Ratio, Historical