Stock Analysis on Net

Procter & Gamble Co. (NYSE:PG)

Price to FCFE (P/FCFE)

Microsoft Excel

Free Cash Flow to Equity (FCFE)

Procter & Gamble Co., FCFE calculation

US$ in millions

Microsoft Excel
12 months ended: Jun 30, 2023 Jun 30, 2022 Jun 30, 2021 Jun 30, 2020 Jun 30, 2019 Jun 30, 2018
Net earnings attributable to Procter & Gamble (P&G) 14,653 14,742 14,306 13,027 3,897 9,750
Net earnings attributable to noncontrolling interests 85 51 46 76 69 111
Net noncash charges 3,330 3,077 3,648 3,090 10,908 1,986
Change in operating assets and liabilities (1,220) (1,147) 371 1,210 368 3,020
Operating activities 16,848 16,723 18,371 17,403 15,242 14,867
Capital expenditures (3,062) (3,156) (2,787) (3,073) (3,347) (3,717)
Additions to short-term debt with original maturities of more than three months 17,168 10,411 7,675 14,371
Reductions in short-term debt with original maturities of more than three months (13,031) (11,478) (7,577) (12,984)
Net additions (reductions) in other short-term debt (3,319) 917 (3,431) 958
Increases (reductions) in short-term debt (legacy) (2,215) (3,437)
Additions to long-term debt 3,997 4,385 4,417 4,951 2,367 5,072
Reductions of long-term debt, includes early extinguishment of debt costs (1,878) (2,343) (4,987) (2,447) (969) (2,873)
Free cash flow to equity (FCFE) 16,723 15,459 11,681 19,179 11,078 9,912

Based on: 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30), 10-K (reporting date: 2020-06-30), 10-K (reporting date: 2019-06-30), 10-K (reporting date: 2018-06-30).

Item Description The company
FCFE Free cash flow to equity is the cash flow available to Procter & Gamble 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. Procter & Gamble Co. FCFE increased from 2021 to 2022 and from 2022 to 2023.

Price to FCFE Ratio, Current

Procter & Gamble Co., current P/FCFE calculation, comparison to benchmarks

Microsoft Excel
No. shares of common stock outstanding 2,353,021,054
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions) 16,723
FCFE per share 7.11
Current share price (P) 162.61
Valuation Ratio
P/FCFE 22.88
Benchmarks
P/FCFE, Industry
Consumer Staples 29.90

Based on: 10-K (reporting date: 2023-06-30).

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

Procter & Gamble Co., historical P/FCFE calculation, comparison to benchmarks

Microsoft Excel
Jun 30, 2023 Jun 30, 2022 Jun 30, 2021 Jun 30, 2020 Jun 30, 2019 Jun 30, 2018
No. shares of common stock outstanding1 2,357,306,187 2,389,553,883 2,427,424,874 2,486,086,692 2,502,259,668 2,488,011,390
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions)2 16,723 15,459 11,681 19,179 11,078 9,912
FCFE per share3 7.09 6.47 4.81 7.71 4.43 3.98
Share price1, 4 155.28 144.72 141.41 132.71 114.28 82.64
Valuation Ratio
P/FCFE5 21.89 22.37 29.39 17.20 25.81 20.74
Benchmarks
P/FCFE, Industry
Consumer Staples 26.54 34.77 25.41 18.67 20.36

Based on: 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30), 10-K (reporting date: 2020-06-30), 10-K (reporting date: 2019-06-30), 10-K (reporting date: 2018-06-30).

1 Data adjusted for splits and stock dividends.

2 See details »

3 2023 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= 16,723,000,000 ÷ 2,357,306,187 = 7.09

4 Closing price as at the filing date of Procter & Gamble Co. Annual Report.

5 2023 Calculation
P/FCFE = Share price ÷ FCFE per share
= 155.28 ÷ 7.09 = 21.89

Valuation ratio Description The company
P/FCFE Price to free cash flow to equity is cash valuation indicator of stockholders’ equity. Procter & Gamble Co. P/FCFE ratio decreased from 2021 to 2022 and from 2022 to 2023.