Microsoft Excel LibreOffice Calc

Chevron Corp. (CVX)


Price to FCFE (P/FCFE)

Difficulty: Intermediate


Free Cash Flow to Equity (FCFE)

Chevron Corp., FCFE calculation

US$ in millions

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12 months ended Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
Net income (loss) attributable to Chevron Corporation 14,824  9,195  (497) 4,587  19,241 
Net income attributable to noncontrolling interests 36  74  66  123  69 
Net noncash charges 16,476  10,770  13,827  16,725  12,705 
Net (increase) decrease in operating working capital (718) 476  (550) (1,979) (540)
Net cash provided by operating activities 30,618  20,515  12,846  19,456  31,475 
Capital expenditures (13,792) (13,404) (18,109) (29,504) (35,407)
Net borrowings (repayments) of short-term obligations 2,021  (5,142) 2,130  (335) 3,431 
Proceeds from issuances of long-term debt 218  3,991  6,924  11,091  4,000 
Repayments of long-term debt and other financing obligations (6,741) (6,310) (1,584) (32) (43)
Free cash flow to equity (FCFE) 12,324  (350) 2,207  676  3,456 

Based on: 10-K (filing date: 2019-02-22), 10-K (filing date: 2018-02-22), 10-K (filing date: 2017-02-23), 10-K (filing date: 2016-02-25), 10-K (filing date: 2015-02-20).

Item Description The company
FCFE Free cash flow to equity is the cash flow available to Chevron Corp.’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. Chevron Corp.’s FCFE declined from 2016 to 2017 but then increased from 2017 to 2018 exceeding 2016 level.

Price to FCFE Ratio, Current

Chevron Corp., current P/FCFE calculation, comparison to benchmarks

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No. shares of common stock outstanding 1,898,418,471
Selected Financial Data (USD $)
Free cash flow to equity (FCFE) (in millions) 12,324 
FCFE per share 6.49
Current share price (P) 124.18
Ratio
P/FCFE 19.13
Benchmarks
P/FCFE, Competitors1
ConocoPhillips 29.33
EOG Resources Inc. 35.18
Exxon Mobil Corp. 26.76
Occidental Petroleum Corp. 10.53
Phillips 66 7.73
P/FCFE, Sector
Oil & Gas Producers 20.15
P/FCFE, Industry
Oil & Gas 20.73

Based on: 10-K (filing date: 2019-02-22).

1 Click competitor name to see calculations.

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

Chevron Corp., historical P/FCFE calculation, comparison to benchmarks

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Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
No. shares of common stock outstanding1 1,900,062,760 1,910,253,256 1,893,102,970 1,883,156,295 1,880,180,422
Selected Financial Data (USD $)
Free cash flow to equity (FCFE) (in millions)2 12,324  (350) 2,207  676  3,456 
FCFE per share3 6.49 -0.18 1.17 0.36 1.84
Share price1, 4 119.39 109.89 111.02 85.30 108.60
Ratio
P/FCFE5 18.41 95.23 237.62 59.08
Benchmarks
P/FCFE, Competitors6
ConocoPhillips 34.71 7.60 18.81 21.77 39.53
EOG Resources Inc. 40.59 131.44
Exxon Mobil Corp. 29.23 23.57 32.86 25.82 19.65
Occidental Petroleum Corp. 15.74 37.42 38.51
Phillips 66 7.41 27.96 29.60 220.02 19.18
P/FCFE, Sector
Oil & Gas Producers 21.61 31.06 41.35 46.00 30.20
P/FCFE, Industry
Oil & Gas 22.09 35.48 45.00 28.84 24.21

Based on: 10-K (filing date: 2019-02-22), 10-K (filing date: 2018-02-22), 10-K (filing date: 2017-02-23), 10-K (filing date: 2016-02-25), 10-K (filing date: 2015-02-20).

1 Data adjusted for splits and stock dividends.

2 See Details »

3 2018 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= 12,324,000,000 ÷ 1,900,062,760 = 6.49

4 Close price on the filing date of Chevron Corp.’s Annual Report.

5 2018 Calculation
P/FCFE = Share price ÷ FCFE per share
= 119.39 ÷ 6.49 = 18.41

6 Click competitor name to see calculations.

Ratio Description The company
P/FCFE Price to free cash flow to equity is cash valuation indicator of stockholders’ equity. Chevron Corp.’s P/FCFE ratio declined from 2016 to 2017 but then slightly increased from 2017 to 2018.