Enterprise Value to FCFF (EV/FCFF)
Free Cash Flow to The Firm (FCFF)
Kraft Foods Group Inc., FCFF calculation
US$ in millions
Based on: 10-K (reporting date: 2014-12-27), 10-K (reporting date: 2013-12-28), 10-K (reporting date: 2012-12-29).
| Item | Description | The company |
|---|---|---|
| FCFF | Free cash flow to the firm is the cash flow available to the Kraft Foods Group Inc. suppliers of capital after all operating expenses have been paid and necessary investments in working and fixed capital have been made. | Kraft Foods Group Inc. FCFF decreased from 2012 to 2013 and from 2013 to 2014. |
Interest Paid, Net of Tax
Kraft Foods Group Inc., interest paid, net of tax calculation
US$ in millions
Based on: 10-K (reporting date: 2014-12-27), 10-K (reporting date: 2013-12-28), 10-K (reporting date: 2012-12-29).
2 2014 Calculation
Cash paid, interest, tax = Cash paid, interest × EITR
= 487 × 25.80% = 126
Enterprise Value to FCFF Ratio, Current
Kraft Foods Group Inc., current EV/FCFF calculation, comparison to benchmarks
| Selected Financial Data (US$ in millions) | |
| Enterprise value (EV) | 59,575) |
| Free cash flow to the firm (FCFF) | 1,848) |
| Valuation Ratio | |
| EV/FCFF | 32.23 |
| Benchmarks | |
| EV/FCFF, Competitors1 | |
| lululemon athletica inc. | 19.41 |
| Nike Inc. | 11.85 |
Based on: 10-K (reporting date: 2014-12-27).
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
Kraft Foods Group Inc., historical EV/FCFF calculation, comparison to benchmarks
| Dec 27, 2014 | Dec 28, 2013 | Dec 29, 2012 | ||
|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||
| Enterprise value (EV)1 | 46,470) | 41,145) | 39,370) | |
| Free cash flow to the firm (FCFF)2 | 1,848) | 1,936) | 2,715) | |
| Valuation Ratio | ||||
| EV/FCFF3 | 25.14 | 21.25 | 14.50 | |
| Benchmarks | ||||
| EV/FCFF, Competitors4 | ||||
| lululemon athletica inc. | — | — | — | |
| Nike Inc. | — | — | — | |
Based on: 10-K (reporting date: 2014-12-27), 10-K (reporting date: 2013-12-28), 10-K (reporting date: 2012-12-29).
3 2014 Calculation
EV/FCFF = EV ÷ FCFF
= 46,470 ÷ 1,848 = 25.14
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. | Kraft Foods Group Inc. EV/FCFF ratio increased from 2012 to 2013 and from 2013 to 2014. |