Price to FCFE (P/FCFE)
Free Cash Flow to Equity (FCFE)
Emerson Electric Co., FCFE calculation
US$ in millions
Based on: 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30), 10-K (reporting date: 2014-09-30).
| Item | Description | The company |
|---|---|---|
| FCFE | Free cash flow to equity is the cash flow available to Emerson Electric Co. equity holders after all operating expenses, interest, and principal payments have been paid and necessary investments in working and fixed capital have been made. | Emerson Electric Co. FCFE increased from 2017 to 2018 and from 2018 to 2019. |
Price to FCFE Ratio, Current
Emerson Electric Co., current P/FCFE calculation, comparison to benchmarks
| No. shares of common stock outstanding | 597,475,300 |
| Selected Financial Data (US$) | |
| Free cash flow to equity (FCFE) (in millions) | 3,441) |
| FCFE per share | 5.76 |
| Current share price (P) | 53.82 |
| Valuation Ratio | |
| P/FCFE | 9.34 |
| Benchmarks | |
| P/FCFE, Competitors1 | |
| Boeing Co. | — |
| Caterpillar Inc. | 15.35 |
| Cummins Inc. | 24.31 |
| Eaton Corp. plc | 37.76 |
| General Electric Co. | 269.26 |
| Honeywell International Inc. | 25.57 |
| Lockheed Martin Corp. | 13.68 |
| RTX Corp. | 7.76 |
| P/FCFE, Sector | |
| Capital Goods | 32.26 |
| P/FCFE, Industry | |
| Industrials | 35.95 |
Based on: 10-K (reporting date: 2019-09-30).
1 Click competitor name to see calculations.
If the company P/FCFE is lower then the P/FCFE of benchmark then company is relatively undervalued.
Otherwise, if the company P/FCFE is higher then the P/FCFE of benchmark then company is relatively overvalued.
Price to FCFE Ratio, Historical
Emerson Electric Co., historical P/FCFE calculation, comparison to benchmarks
| Sep 30, 2019 | Sep 30, 2018 | Sep 30, 2017 | Sep 30, 2016 | Sep 30, 2015 | Sep 30, 2014 | ||
|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 609,153,835 | 626,158,598 | 641,819,838 | 642,776,971 | 654,557,141 | 693,634,810 | |
| Selected Financial Data (US$) | |||||||
| Free cash flow to equity (FCFE) (in millions)2 | 3,441) | 2,377) | 235) | 1,854) | 2,685) | 3,219) | |
| FCFE per share3 | 5.65 | 3.80 | 0.37 | 2.88 | 4.10 | 4.64 | |
| Share price1, 4 | 73.07 | 68.46 | 60.26 | 54.97 | 50.01 | 64.15 | |
| Valuation Ratio | |||||||
| P/FCFE5 | 12.94 | 18.03 | 164.58 | 19.06 | 12.19 | 13.82 | |
| Benchmarks | |||||||
| P/FCFE, Competitors6 | |||||||
| Boeing Co. | 19.60 | — | — | — | — | — | |
| Caterpillar Inc. | 11.07 | — | — | — | — | — | |
| Cummins Inc. | 10.85 | — | — | — | — | — | |
| Eaton Corp. plc | 11.12 | — | — | — | — | — | |
| General Electric Co. | — | — | — | — | — | — | |
| Honeywell International Inc. | 21.75 | — | — | — | — | — | |
| Lockheed Martin Corp. | 28.62 | — | — | — | — | — | |
| RTX Corp. | 28.09 | — | — | — | — | — | |
| P/FCFE, Sector | |||||||
| Capital Goods | 26.31 | — | — | — | — | — | |
| P/FCFE, Industry | |||||||
| Industrials | 27.50 | — | — | — | — | — | |
Based on: 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30), 10-K (reporting date: 2014-09-30).
1 Data adjusted for splits and stock dividends.
3 2019 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= 3,441,000,000 ÷ 609,153,835 = 5.65
4 Closing price as at the filing date of Emerson Electric Co. Annual Report.
5 2019 Calculation
P/FCFE = Share price ÷ FCFE per share
= 73.07 ÷ 5.65 = 12.94
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. | Emerson Electric Co. P/FCFE ratio decreased from 2017 to 2018 and from 2018 to 2019. |