Stock Analysis on Net

Meta Platforms Inc. (NASDAQ:META)

Price to FCFE (P/FCFE)

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Free Cash Flow to Equity (FCFE)

Meta Platforms Inc., FCFE calculation

US$ in millions

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12 months ended: Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Net income 39,098 23,200 39,370 29,146 18,485
Net noncash charges 28,179 21,592 17,613 12,324 10,579
Changes in assets and liabilities 3,836 5,683 700 (2,723) 7,250
Net cash provided by operating activities 71,113 50,475 57,683 38,747 36,314
Purchases of property and equipment (27,266) (31,431) (18,690) (15,163) (15,102)
Proceeds relating to property and equipment 221 245 123 48
Proceeds from issuance of long-term debt, net 8,455 9,921
Principal payments on finance leases (1,058) (850) (677) (604) (552)
Free cash flow to equity (FCFE) 51,465 28,360 38,439 23,028 20,660

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

Item Description The company
FCFE Free cash flow to equity is the cash flow available to Meta Platforms 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. Meta Platforms Inc. FCFE decreased from 2021 to 2022 but then increased from 2022 to 2023 exceeding 2021 level.

Price to FCFE Ratio, Current

Meta Platforms Inc., current P/FCFE calculation, comparison to benchmarks

Microsoft Excel
No. shares of common stock outstanding 2,549,405,106
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions) 51,465
FCFE per share 20.19
Current share price (P) 485.58
Valuation Ratio
P/FCFE 24.05
Benchmarks
P/FCFE, Competitors1
Alphabet Inc. 27.54
Charter Communications Inc. 12.38
Comcast Corp. 12.01
Netflix Inc. 37.95
Walt Disney Co. 72.08
P/FCFE, Sector
Media & Entertainment 25.90
P/FCFE, Industry
Communication Services 23.02

Based on: 10-K (reporting date: 2023-12-31).

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.


Price to FCFE Ratio, Historical

Meta Platforms Inc., historical P/FCFE calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
No. shares of common stock outstanding1 2,549,405,106 2,592,639,548 2,721,941,960 2,847,669,951 2,850,450,659
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions)2 51,465 28,360 38,439 23,028 20,660
FCFE per share3 20.19 10.94 14.12 8.09 7.25
Share price1, 4 474.99 188.77 237.76 265.00 209.53
Valuation Ratio
P/FCFE5 23.53 17.26 16.84 32.77 28.91
Benchmarks
P/FCFE, Competitors6
Alphabet Inc. 25.65 22.91 29.75 26.58 32.39
Charter Communications Inc. 13.59 5.10 5.88 11.52 10.04
Comcast Corp. 12.89 12.26 27.57 18.17 64.70
Netflix Inc. 35.64 176.91 81.38 116.48
Walt Disney Co. 55.51 18.20 55.35
P/FCFE, Sector
Media & Entertainment 24.49 21.69 26.52 25.86 32.46
P/FCFE, Industry
Communication Services 21.82 28.69 24.31 20.00 30.96

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 Data adjusted for splits and stock dividends.

2 See details »

3 2023 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= 51,465,000,000 ÷ 2,549,405,106 = 20.19

4 Closing price as at the filing date of Meta Platforms Inc. Annual Report.

5 2023 Calculation
P/FCFE = Share price ÷ FCFE per share
= 474.99 ÷ 20.19 = 23.53

6 Click competitor name to see calculations.

Valuation ratio Description The company
P/FCFE Price to free cash flow to equity is cash valuation indicator of stockholders’ equity. Meta Platforms Inc. P/FCFE ratio increased from 2021 to 2022 and from 2022 to 2023.