Price to FCFE (P/FCFE)
Paying user area
Try for free
Colgate-Palmolive Co. pages available for free this week:
- Balance Sheet: Assets
- Balance Sheet: Liabilities and Stockholders’ Equity
- Common-Size Income Statement
- Common-Size Balance Sheet: Assets
- Analysis of Profitability Ratios
- Enterprise Value to EBITDA (EV/EBITDA)
- Enterprise Value to FCFF (EV/FCFF)
- Present Value of Free Cash Flow to Equity (FCFE)
- Return on Equity (ROE) since 2005
- Analysis of Debt
The data is hidden behind: . Unhide it.
Get full access to the entire website from $10.42/mo, or
get 1-month access to Colgate-Palmolive Co. for $22.49.
This is a one-time payment. There is no automatic renewal.
We accept:
Free Cash Flow to Equity (FCFE)
Colgate-Palmolive Co., FCFE calculation
US$ in millions
Based on: 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), 10-K (reporting date: 2018-12-31).
- Net Cash Provided by Operations
- The net cash provided by operations showed an overall upward trend from 2018 to 2020, increasing from 3,056 million US dollars in 2018 to 3,719 million US dollars in 2020. However, this metric declined in the subsequent two years, falling to 3,325 million US dollars in 2021 and further to 2,556 million US dollars in 2022. The peak in 2020 suggests a strong operational cash flow during that year, while the decline in 2021 and 2022 may indicate reduced operational efficiency or increased operating costs.
- Free Cash Flow to Equity (FCFE)
- The free cash flow to equity exhibited notable fluctuations over the period. It increased significantly from 2,441 million US dollars in 2018 to a peak of 4,231 million US dollars in 2019. After this peak, the FCFE decreased to 2,712 million US dollars in 2020 and remained relatively stable in 2021 at 2,583 million US dollars. In 2022, FCFE rebounded to 3,507 million US dollars. This pattern indicates volatility in the company's ability to generate cash available for equity holders, with the highest available cash seen in 2019 and a recovery in 2022 after two years of lower levels.
- Overall Insights
- While operational cash flow peaked in 2020 and subsequently declined, the FCFE peaked earlier in 2019 and experienced a trough during 2020 and 2021 before recovering in 2022. This divergence suggests there may have been changes in capital expenditures, debt repayments, or other financing activities influencing the free cash flow to equity independently of operating cash flow trends. The volatility in FCFE highlights the importance of analyzing financing and investment activities alongside operational performance when assessing cash flow health over this period.
Price to FCFE Ratio, Current
Colgate-Palmolive Co., current P/FCFE calculation, comparison to benchmarks
| No. shares of common stock outstanding | |
| Selected Financial Data (US$) | |
| Free cash flow to equity (FCFE) (in millions) | |
| FCFE per share | |
| Current share price (P) | |
| Valuation Ratio | |
| P/FCFE | |
| Benchmarks | |
| P/FCFE, Competitors1 | |
| Procter & Gamble Co. | |
| P/FCFE, Industry | |
| Consumer Staples | |
Based on: 10-K (reporting date: 2022-12-31).
1 Click competitor name to see calculations.
If the company P/FCFE is lower then the P/FCFE of benchmark then company is relatively undervalued.
Otherwise, if the company P/FCFE is higher then the P/FCFE of benchmark then company is relatively overvalued.
Price to FCFE Ratio, Historical
Colgate-Palmolive Co., historical P/FCFE calculation, comparison to benchmarks
| Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | ||
|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | ||||||
| Selected Financial Data (US$) | ||||||
| Free cash flow to equity (FCFE) (in millions)2 | ||||||
| FCFE per share3 | ||||||
| Share price1, 4 | ||||||
| Valuation Ratio | ||||||
| P/FCFE5 | ||||||
| Benchmarks | ||||||
| P/FCFE, Competitors6 | ||||||
| Procter & Gamble Co. | ||||||
| P/FCFE, Industry | ||||||
| Consumer Staples | ||||||
Based on: 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), 10-K (reporting date: 2018-12-31).
1 Data adjusted for splits and stock dividends.
3 2022 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= ÷ =
4 Closing price as at the filing date of Colgate-Palmolive Co. Annual Report.
5 2022 Calculation
P/FCFE = Share price ÷ FCFE per share
= ÷ =
6 Click competitor name to see calculations.
- Share Price
- The share price demonstrated an overall upward trend from 2018 through 2021, increasing from $66.70 to $79.15. However, in 2022, the share price declined to $72.77, indicating a reversal from the previous growth trend.
- Free Cash Flow to Equity (FCFE) per Share
- FCFE per share showed a significant increase from 2018 to 2019, rising from $2.83 to $4.95. This was followed by a notable decrease in 2020 to $3.20 and a slight further decline in 2021 to $3.07. In 2022, FCFE per share increased again to $4.22, suggesting some recovery in free cash flow generation.
- Price to FCFE Ratio (P/FCFE)
- The P/FCFE ratio fluctuated considerably over the five-year period. It started at 23.55 in 2018, dropped sharply to 15.41 in 2019, then rose to peak values of 24.63 in 2020 and 25.75 in 2021. In 2022, this ratio declined to 17.23, reflecting changes in both share price and FCFE per share.
- Summary of Trends
- The data reveals a pattern of volatility in both share price and FCFE per share, particularly from 2019 onward. The initial growth in FCFE per share in 2019 was accompanied by a reduced P/FCFE ratio, which might suggest improved valuation relative to cash flows at that time. However, subsequent years showed declining FCFE per share with corresponding increases in P/FCFE, indicating rising price multiples amid weaker free cash flow. The decrease in share price in 2022, coupled with an increased FCFE per share, led to a lower P/FCFE ratio, which could imply a more attractive valuation compared to the prior years. Overall, the financial metrics suggest a phase of consolidation following earlier growth, with investors potentially reassessing valuation metrics in the context of fluctuating cash flows.