Price to FCFE (P/FCFE)
Free Cash Flow to Equity (FCFE)
AutoZone Inc., FCFE calculation
US$ in thousands
Based on: 10-K (reporting date: 2023-08-26), 10-K (reporting date: 2022-08-27), 10-K (reporting date: 2021-08-28), 10-K (reporting date: 2020-08-29), 10-K (reporting date: 2019-08-31), 10-K (reporting date: 2018-08-25).
- Net Cash Provided by Operating Activities
- The net cash generated from operating activities showed a generally increasing trend from fiscal 2018 through 2021, rising from approximately 2.08 billion USD to around 3.52 billion USD. However, there was a decline in the subsequent two years, with cash flow reducing to about 3.21 billion USD in 2022 and further to approximately 2.94 billion USD in 2023. Despite the decrease in the last two periods, the overall level remains significantly higher than the starting point in 2018.
- Free Cash Flow to Equity (FCFE)
- Free cash flow to equity demonstrated a consistent upward trend throughout the entire period analyzed. Starting at roughly 1.43 billion USD in 2018, this metric increased each year, reaching about 3.62 billion USD in 2023. This steady growth suggests improving capacity to generate cash available to equity shareholders, with no observed downturns or plateaus during the period.
Price to FCFE Ratio, Current
AutoZone Inc., current P/FCFE calculation, comparison to benchmarks
| No. shares of common stock outstanding | 17,683,418 |
| Selected Financial Data (US$) | |
| Free cash flow to equity (FCFE) (in thousands) | 3,619,276) |
| FCFE per share | 204.67 |
| Current share price (P) | 2,637.36 |
| Valuation Ratio | |
| P/FCFE | 12.89 |
| Benchmarks | |
| P/FCFE, Competitors1 | |
| Amazon.com Inc. | 90.58 |
| Home Depot Inc. | 14.95 |
| Lowe’s Cos. Inc. | 18.02 |
| TJX Cos. Inc. | 33.58 |
| P/FCFE, Sector | |
| Consumer Discretionary Distribution & Retail | 56.53 |
| P/FCFE, Industry | |
| Consumer Discretionary | 101.33 |
Based on: 10-K (reporting date: 2023-08-26).
1 Click competitor name to see calculations.
If the company P/FCFE is lower then the P/FCFE of benchmark then company is relatively undervalued.
Otherwise, if the company P/FCFE is higher then the P/FCFE of benchmark then company is relatively overvalued.
Price to FCFE Ratio, Historical
AutoZone Inc., historical P/FCFE calculation, comparison to benchmarks
| Aug 26, 2023 | Aug 27, 2022 | Aug 28, 2021 | Aug 29, 2020 | Aug 31, 2019 | Aug 25, 2018 | ||
|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 17,683,418 | 18,981,426 | 20,967,962 | 23,175,554 | 23,827,496 | 25,559,353 | |
| Selected Financial Data (US$) | |||||||
| Free cash flow to equity (FCFE) (in thousands)2 | 3,619,276) | 3,324,962) | 2,586,923) | 2,530,214) | 1,783,856) | 1,429,700) | |
| FCFE per share3 | 204.67 | 175.17 | 123.38 | 109.18 | 74.87 | 55.94 | |
| Share price1, 4 | 2,416.54 | 2,407.52 | 1,821.09 | 1,152.00 | 1,149.77 | 728.22 | |
| Valuation Ratio | |||||||
| P/FCFE5 | 11.81 | 13.74 | 14.76 | 10.55 | 15.36 | 13.02 | |
| Benchmarks | |||||||
| P/FCFE, Competitors6 | |||||||
| Amazon.com Inc. | 84.16 | 240.95 | — | 55.66 | — | — | |
| Home Depot Inc. | 19.60 | 19.87 | 15.41 | 14.99 | — | — | |
| Lowe’s Cos. Inc. | 7.08 | 13.55 | 12.28 | 8.69 | — | — | |
| TJX Cos. Inc. | 33.59 | — | 10.55 | 19.71 | — | — | |
| P/FCFE, Sector | |||||||
| Consumer Discretionary Distribution & Retail | 41.58 | 51.89 | 59.10 | 38.09 | — | — | |
| P/FCFE, Industry | |||||||
| Consumer Discretionary | 30.88 | 36.44 | 83.44 | 32.34 | — | — | |
Based on: 10-K (reporting date: 2023-08-26), 10-K (reporting date: 2022-08-27), 10-K (reporting date: 2021-08-28), 10-K (reporting date: 2020-08-29), 10-K (reporting date: 2019-08-31), 10-K (reporting date: 2018-08-25).
1 Data adjusted for splits and stock dividends.
3 2023 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= 3,619,276,000 ÷ 17,683,418 = 204.67
4 Closing price as at the filing date of AutoZone Inc. Annual Report.
5 2023 Calculation
P/FCFE = Share price ÷ FCFE per share
= 2,416.54 ÷ 204.67 = 11.81
6 Click competitor name to see calculations.
The financial data over the observed periods reveals several notable trends in key metrics.
- Share Price
- The share price demonstrated a consistent upward trajectory from August 2018 through August 2023. Starting at $728.22, it saw substantial growth, particularly between 2020 and 2022, where the price increased from approximately $1,152 to $2,407.52. The increase from 2022 to 2023 was more modest, with the share price reaching $2,416.54, indicating a potential stabilization at higher valuation levels.
- Free Cash Flow to Equity (FCFE) per Share
- FCFE per share showed continuous growth throughout the years. Beginning at $55.94 in 2018, it rose steadily, with the most pronounced increases observed in the last three years, culminating at $204.67 in 2023. This reflects improving cash generation available to equity shareholders and suggests enhanced operational efficiency or profitability.
- Price to FCFE Ratio (P/FCFE)
- The P/FCFE ratio fluctuated over the period under review. Starting at 13.02 in 2018, it increased to 15.36 in 2019, before dropping sharply to 10.55 in 2020. Subsequently, the ratio rose again, peaking at 14.76 in 2021, and then gradually declined to 11.81 by 2023. This variability indicates changing market perceptions of value relative to cash flows, with lower ratios in recent years suggesting the stock may have become more moderately valued based on FCFE.
Overall, the data indicates strong growth in both share price and cash flow generation, with valuation multiples showing moderate variability that might reflect shifts in investor sentiment or market conditions over time.