.Price to FCFE (P/FCFE)
Difficulty: Intermediate
Free Cash Flow to Equity (FCFE)
Danaher Corp., FCFE calculation
USD $ in thousands
| 12 months ended | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | |
|---|---|---|---|---|---|---|
| | Net earnings | |||||
| | Net noncash charges | |||||
| | Change in operating capital | |||||
| | Net cash provided by operating activities | |||||
| | Payments for additions to property, plant and equipment | |||||
| | Proceeds from sales of property, plant and equipment | |||||
| | Make-whole premiums to redeem borrowings prior to maturity | |||||
| | Net proceeds from (repayments of) borrowings, maturities of 90 days or less | |||||
| | Proceeds from borrowings, maturities longer than 90 days | |||||
| | Repayments of borrowings, maturities longer than 90 days | |||||
| | Free cash flow to equity (FCFE) |
| Item | Description | The company |
|---|---|---|
| FCFE | Free cash flow to equity is the cash flow available to Danaher 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. | Danaher Corp.'s FCFE declined from 2015 to 2016 and from 2016 to 2017. |
Price to FCFE Ratio, Current
Danaher Corp., 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 | |
| 3M Co. | |
| General Electric Co. | |
| Honeywell International Inc. | |
| P/FCFE, Sector | |
| General Industrials | |
| P/FCFE, Industry | |
| Industrials | |
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
Danaher Corp., 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 | ||||||
| 3M Co. | ||||||
| General Electric Co. | ||||||
| Honeywell International Inc. | ||||||
| P/FCFE, Sector | ||||||
| General Industrials | ||||||
| P/FCFE, Industry | ||||||
| Industrials | ||||||
1 Data adjusted for splits and stock dividends.
3 Close price on the filing date of Danaher Corp.'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. | Danaher Corp.'s P/FCFE ratio increased from 2015 to 2016 and from 2016 to 2017. |
