.Price to FCFE (P/FCFE)
Difficulty: Intermediate
Free Cash Flow to Equity (FCFE)
Allergan PLC, FCFE calculation
USD $ in thousands
| 12 months ended | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | |
|---|---|---|---|---|---|---|
| | Net income (loss) attributable to shareholders | |||||
| | (Income) loss attributable to noncontrolling interest | |||||
| | Net noncash charges | |||||
| | Changes in assets and liabilities, net of effects of acquisitions | |||||
| | Net cash provided by operating activities | |||||
| | Additions to property, plant and equipment | |||||
| | Additions to product rights and other intangibles | |||||
| | Proceeds from sales of property, plant and equipment | |||||
| | Proceeds from borrowings of long-term indebtedness, including credit facility | |||||
| | Debt issuance and other financing costs | |||||
| | Payments on debt, including capital lease obligations and credit facility | |||||
| | Free cash flow to equity (FCFE) |
| Item | Description | The company |
|---|---|---|
| FCFE | Free cash flow to equity is the cash flow available to Allergan PLC's equity holders after all operating expenses, interest, and principal payments have been paid and necessary investments in working and fixed capital have been made. | Allergan PLC's FCFE declined from 2015 to 2016 but then slightly increased from 2016 to 2017. |
Price to FCFE Ratio, Current
Allergan PLC, current P/FCFE calculation, comparison to benchmarks
| No. shares of common stock outstanding | |
| Selected Financial Data (USD $) | |
| Free cash flow to equity (FCFE) (in thousands) | |
| FCFE per share | |
| Current share price (P) | |
| Ratio | |
| P/FCFE | |
| Benchmarks | |
| P/FCFE, Competitors | |
| Abbott Laboratories | |
| AbbVie Inc. | |
| Amgen Inc. | |
| Biogen Inc. | |
| Bristol-Myers Squibb Co. | |
| Celgene Corp. | |
| Eli Lilly & Co. | |
| Gilead Sciences Inc. | |
| Johnson & Johnson | |
| Merck & Co. Inc. | |
| Pfizer Inc. | |
| Regeneron Pharmaceuticals Inc. | |
| P/FCFE, Sector | |
| Pharmaceuticals & Biotechnology | |
| P/FCFE, Industry | |
| Health Care | |
If company P/FCFE is lower then the P/FCFE of benchmark then company is relatively undervalued.
Otherwise, if company P/FCFE is higher then the P/FCFE of benchmark then company is relatively overvalued.
Price to FCFE Ratio, Historical
Allergan PLC, historical P/FCFE calculation, comparison to benchmarks
| Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | ||
|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | ||||||
| Selected Financial Data (USD $) | ||||||
| | Free cash flow to equity (FCFE) (in thousands)2 | |||||
| | FCFE per share4 | |||||
| Share price1, 3 | ||||||
| Ratio | ||||||
| | P/FCFE5 | |||||
| Benchmarks | ||||||
| P/FCFE, Competitors | ||||||
| Abbott Laboratories | ||||||
| AbbVie Inc. | ||||||
| Amgen Inc. | ||||||
| Biogen Inc. | ||||||
| Bristol-Myers Squibb Co. | ||||||
| Celgene Corp. | ||||||
| Eli Lilly & Co. | ||||||
| Gilead Sciences Inc. | ||||||
| Johnson & Johnson | ||||||
| Merck & Co. Inc. | ||||||
| Pfizer Inc. | ||||||
| Regeneron Pharmaceuticals Inc. | ||||||
| P/FCFE, Sector | ||||||
| Pharmaceuticals & Biotechnology | ||||||
| P/FCFE, Industry | ||||||
| Health Care | ||||||
1 Data adjusted for splits and stock dividends.
3 Close price on the filing date of Allergan PLC's Annual Report.
2017 Calculations
4 FCFE per share = FCFE ÷ No. shares of common stock outstanding
= ÷ =
5 P/FCFE = Share price ÷ FCFE per share
= ÷ =
| Ratio | Description | The company |
|---|---|---|
| P/FCFE | Price to free cash flow to equity is cash valuation indicator of stockholders' equity. | Allergan PLC's P/FCFE ratio declined from 2015 to 2016 but then increased from 2016 to 2017 exceeding 2015 level. |
