Stock Analysis on Net

General Mills Inc. (NYSE:GIS)

This company has been moved to the archive! The financial data has not been updated since December 18, 2019.

Enterprise Value to FCFF (EV/FCFF)

Microsoft Excel

Free Cash Flow to The Firm (FCFF)

General Mills Inc., FCFF calculation

US$ in thousands

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12 months ended: May 26, 2019 May 27, 2018 May 28, 2017 May 29, 2016 May 31, 2015 May 25, 2014
Net earnings attributable to General Mills 1,752,700 2,131,000 1,657,500 1,697,400 1,221,300 1,824,400
Net earnings attributable to redeemable and noncontrolling interests 33,500 32,000 43,600 39,400 38,100 36,900
Net noncash charges 1,028,300 135,900 844,200 634,800 1,068,700 711,900
Changes in current assets and liabilities, excluding the effects of acquisitions and divestitures (7,500) 542,100 (232,000) 258,200 214,700 (32,200)
Net cash provided by operating activities 2,807,000 2,841,000 2,313,300 2,629,800 2,542,800 2,541,000
Cash interest payments, net of tax1 409,582 196,196 203,490 200,312 203,635 192,296
Capitalized interest, net of tax2 2,293 2,985 3,275 5,282 4,602 3,268
Purchases of land, buildings, and equipment (537,600) (622,700) (684,400) (729,300) (712,400) (663,500)
Proceeds from disposal of land, buildings, and equipment 14,300 1,400 4,200 4,400 11,000 6,600
Free cash flow to the firm (FCFF) 2,695,575 2,418,881 1,839,865 2,110,494 2,049,637 2,079,664

Based on: 10-K (reporting date: 2019-05-26), 10-K (reporting date: 2018-05-27), 10-K (reporting date: 2017-05-28), 10-K (reporting date: 2016-05-29), 10-K (reporting date: 2015-05-31), 10-K (reporting date: 2014-05-25).

Item Description The company
FCFF Free cash flow to the firm is the cash flow available to the General Mills Inc. suppliers of capital after all operating expenses have been paid and necessary investments in working and fixed capital have been made. General Mills Inc. FCFF increased from 2017 to 2018 and from 2018 to 2019.

Interest Paid, Net of Tax

General Mills Inc., interest paid, net of tax calculation

US$ in thousands

Microsoft Excel
12 months ended: May 26, 2019 May 27, 2018 May 28, 2017 May 29, 2016 May 31, 2015 May 25, 2014
Effective Income Tax Rate (EITR)
EITR1 18.10% 27.20% 28.80% 31.40% 33.30% 33.30%
Interest Paid, Net of Tax
Cash interest payments, before tax 500,100 269,500 285,800 292,000 305,300 288,300
Less: Cash interest payments, tax2 90,518 73,304 82,310 91,688 101,665 96,004
Cash interest payments, net of tax 409,582 196,196 203,490 200,312 203,635 192,296
Interest Costs Capitalized, Net of Tax
Capitalized interest, before tax 2,800 4,100 4,600 7,700 6,900 4,900
Less: Capitalized interest, tax3 507 1,115 1,325 2,418 2,298 1,632
Capitalized interest, net of tax 2,293 2,985 3,275 5,282 4,602 3,268

Based on: 10-K (reporting date: 2019-05-26), 10-K (reporting date: 2018-05-27), 10-K (reporting date: 2017-05-28), 10-K (reporting date: 2016-05-29), 10-K (reporting date: 2015-05-31), 10-K (reporting date: 2014-05-25).

1 See details »

2 2019 Calculation
Cash interest payments, tax = Cash interest payments × EITR
= 500,100 × 18.10% = 90,518

3 2019 Calculation
Capitalized interest, tax = Capitalized interest × EITR
= 2,800 × 18.10% = 507


Enterprise Value to FCFF Ratio, Current

General Mills Inc., current EV/FCFF calculation, comparison to benchmarks

Microsoft Excel
Selected Financial Data (US$ in thousands)
Enterprise value (EV) 46,517,358
Free cash flow to the firm (FCFF) 2,695,575
Valuation Ratio
EV/FCFF 17.26
Benchmarks
EV/FCFF, Competitors1
Coca-Cola Co. 26.73
Mondelēz International Inc. 29.00
PepsiCo Inc. 29.72
EV/FCFF, Sector
Food, Beverage & Tobacco 33.77
EV/FCFF, Industry
Consumer Staples 35.08

Based on: 10-K (reporting date: 2019-05-26).

1 Click competitor name to see calculations.

If the company EV/FCFF is lower then the EV/FCFF of benchmark then company is relatively undervalued.
Otherwise, if the company EV/FCFF is higher then the EV/FCFF of benchmark then company is relatively overvalued.


Enterprise Value to FCFF Ratio, Historical

General Mills Inc., historical EV/FCFF calculation, comparison to benchmarks

Microsoft Excel
May 26, 2019 May 27, 2018 May 28, 2017 May 29, 2016 May 31, 2015 May 25, 2014
Selected Financial Data (US$ in thousands)
Enterprise value (EV)1 45,968,119 42,033,361 40,796,369 50,623,631 43,168,268 40,882,674
Free cash flow to the firm (FCFF)2 2,695,575 2,418,881 1,839,865 2,110,494 2,049,637 2,079,664
Valuation Ratio
EV/FCFF3 17.05 17.38 22.17 23.99 21.06 19.66
Benchmarks
EV/FCFF, Competitors4
Coca-Cola Co. 28.08
Mondelēz International Inc. 30.51
PepsiCo Inc. 35.72
EV/FCFF, Sector
Food, Beverage & Tobacco 30.80
EV/FCFF, Industry
Consumer Staples 24.78

Based on: 10-K (reporting date: 2019-05-26), 10-K (reporting date: 2018-05-27), 10-K (reporting date: 2017-05-28), 10-K (reporting date: 2016-05-29), 10-K (reporting date: 2015-05-31), 10-K (reporting date: 2014-05-25).

1 See details »

2 See details »

3 2019 Calculation
EV/FCFF = EV ÷ FCFF
= 45,968,119 ÷ 2,695,575 = 17.05

4 Click competitor name to see calculations.

Valuation ratio Description The company
EV/FCFF Enterprise value to free cash flow to the firm is whole company valuation indicator. General Mills Inc. EV/FCFF ratio decreased from 2017 to 2018 and from 2018 to 2019.