Stock Analysis on Net

Elevance Health Inc. (NYSE:ELV)

Price to FCFE (P/FCFE) 

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Free Cash Flow to Equity (FCFE)

Elevance Health Inc., FCFE calculation

US$ in millions

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12 months ended: Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Shareholders’ net income 6,104  4,572  4,807  3,750  3,843 
Net loss attributable to noncontrolling interests (9) —  —  —  — 
Net noncash charges 1,076  862  1,348  1,655  (324)
Changes in operating assets and liabilities 1,193  5,254  (94) (1,578) 666 
Net cash provided by operating activities 8,364  10,688  6,061  3,827  4,185 
Purchases of property and equipment (1,087) (1,021) (1,077) (1,208) (790)
Net proceeds from (repayments of) commercial paper borrowings 50  (150) (297) (107) 175 
Proceeds from long-term borrowings 3,462  2,484  2,473  835  5,458 
Repayments of long-term borrowings (1,068) (1,932) (1,123) (1,684) (2,815)
Proceeds from short-term borrowings 1,325  970  7,590  9,120  5,835 
Repayments of short-term borrowings (1,050) (1,670) (8,035) (9,250) (5,000)
Free cash flow to equity (FCFE) 9,996  9,369  5,592  1,533  7,047 

Based on: 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), 10-K (reporting date: 2017-12-31).

Item Description The company
FCFE Free cash flow to equity is the cash flow available to Elevance Health Inc. equity holders after all operating expenses, interest, and principal payments have been paid and necessary investments in working and fixed capital have been made. Elevance Health Inc. FCFE increased from 2019 to 2020 and from 2020 to 2021.

Price to FCFE Ratio, Current

Elevance Health Inc., current P/FCFE calculation, comparison to benchmarks

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No. shares of common stock outstanding 240,000,694
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions) 9,996 
FCFE per share 41.65
Current share price (P) 491.70
Valuation Ratio
P/FCFE 11.81
Benchmarks
P/FCFE, Competitors1
Abbott Laboratories 23.24
Bristol-Myers Squibb Co. 17.83
Cigna Corp. 13.54
CVS Health Corp. 21.56
Danaher Corp. 23.95
Intuitive Surgical Inc. 49.04
Medtronic PLC 21.08
UnitedHealth Group Inc. 22.73
P/FCFE, Sector
Health Care Equipment & Services 21.03
P/FCFE, Industry
Health Care 17.96

Based on: 10-K (reporting date: 2021-12-31).

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

Elevance Health Inc., historical P/FCFE calculation, comparison to benchmarks

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Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
No. shares of common stock outstanding1 241,304,369 244,905,689 252,329,919 257,011,928 255,721,900
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions)2 9,996  9,369  5,592  1,533  7,047 
FCFE per share3 41.42 38.26 22.16 5.96 27.56
Share price1, 4 458.58 296.33 304.06 312.95 232.03
Valuation Ratio
P/FCFE5 11.07 7.75 13.72 52.47 8.42
Benchmarks
P/FCFE, Competitors6
Abbott Laboratories 24.52 38.42 53.19 70.38
Bristol-Myers Squibb Co. 16.17 7.80 5.80 18.62 20.01
Cigna Corp. 10.98 16.30 20.76 2.41 12.81
CVS Health Corp. 21.23 11.93 18.52 1.66 12.89
Danaher Corp. 20.75 44.62 6.88 26.93 300.48
Intuitive Surgical Inc. 58.86 81.15 57.31 60.90 49.12
Medtronic PLC 38.91 23.06 26.62 15.45
UnitedHealth Group Inc. 20.11 13.93 13.90 14.22 24.48
P/FCFE, Sector
Health Care Equipment & Services 20.27 16.58 13.39 10.22 20.58
P/FCFE, Industry
Health Care 16.88 17.37 13.43 14.45 15.99

Based on: 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), 10-K (reporting date: 2017-12-31).

1 Data adjusted for splits and stock dividends.

2 See details »

3 2021 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= 9,996,000,000 ÷ 241,304,369 = 41.42

4 Closing price as at the filing date of Elevance Health Inc. Annual Report.

5 2021 Calculation
P/FCFE = Share price ÷ FCFE per share
= 458.58 ÷ 41.42 = 11.07

6 Click competitor name to see calculations.

Valuation ratio Description The company
P/FCFE Price to free cash flow to equity is cash valuation indicator of stockholders’ equity. Elevance Health Inc. P/FCFE ratio decreased from 2019 to 2020 but then increased from 2020 to 2021 not reaching 2019 level.