Price to FCFE (P/FCFE)
Free Cash Flow to Equity (FCFE)
Mastercard Inc., FCFE calculation
US$ in millions
Based on: 10-K (reporting date: 2022-12-31), 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).
| Item | Description | The company |
|---|---|---|
| FCFE | Free cash flow to equity is the cash flow available to Mastercard 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. | Mastercard Inc. FCFE decreased from 2020 to 2021 but then increased from 2021 to 2022 exceeding 2020 level. |
Price to FCFE Ratio, Current
Mastercard Inc., current P/FCFE calculation, comparison to benchmarks
| No. shares of common stock outstanding | 947,852,601 |
| Selected Financial Data (US$) | |
| Free cash flow to equity (FCFE) (in millions) | 10,497) |
| FCFE per share | 11.07 |
| Current share price (P) | 373.67 |
| Valuation Ratio | |
| P/FCFE | 33.74 |
| Benchmarks | |
| P/FCFE, Competitors1 | |
| Accenture PLC | 23.64 |
| Adobe Inc. | 34.13 |
| Autodesk Inc. | 52.86 |
| Cadence Design Systems Inc. | 72.71 |
| CrowdStrike Holdings Inc. | 92.38 |
| International Business Machines Corp. | 11.71 |
| Intuit Inc. | 40.12 |
| Microsoft Corp. | 41.38 |
| Oracle Corp. | 64.93 |
| Palo Alto Networks Inc. | 61.89 |
| Salesforce Inc. | 40.51 |
| ServiceNow Inc. | 77.93 |
| Synopsys Inc. | 55.06 |
| P/FCFE, Sector | |
| Software & Services | 49.59 |
| P/FCFE, Industry | |
| Information Technology | 50.43 |
Based on: 10-K (reporting date: 2022-12-31).
1 Click competitor name to see calculations.
If the company P/FCFE is lower then the P/FCFE of benchmark then company is relatively undervalued.
Otherwise, if the company P/FCFE is higher then the P/FCFE of benchmark then company is relatively overvalued.
Price to FCFE Ratio, Historical
Mastercard Inc., historical P/FCFE calculation, comparison to benchmarks
| Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | ||
|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 953,242,534 | 977,476,439 | 993,362,338 | 1,005,108,964 | 1,025,909,048 | |
| Selected Financial Data (US$) | ||||||
| Free cash flow to equity (FCFE) (in millions)2 | 10,497) | 10,023) | 10,475) | 9,679) | 6,710) | |
| FCFE per share3 | 11.01 | 10.25 | 10.54 | 9.63 | 6.54 | |
| Share price1, 4 | 369.96 | 369.77 | 341.00 | 340.95 | 220.54 | |
| Valuation Ratio | ||||||
| P/FCFE5 | 33.60 | 36.06 | 32.34 | 35.41 | 33.72 | |
| Benchmarks | ||||||
| P/FCFE, Competitors6 | ||||||
| Accenture PLC | 17.91 | 25.76 | 19.01 | 19.50 | — | |
| Adobe Inc. | 21.32 | 34.26 | 41.36 | 41.90 | 19.87 | |
| Autodesk Inc. | 16.66 | 64.43 | 24.07 | 41.92 | — | |
| Cadence Design Systems Inc. | 33.41 | 36.31 | 45.86 | 36.04 | — | |
| CrowdStrike Holdings Inc. | 99.63 | 41.38 | 880.68 | — | — | |
| International Business Machines Corp. | 11.97 | 48.45 | 9.43 | 4.39 | — | |
| Intuit Inc. | 13.86 | 86.74 | 17.36 | 34.61 | — | |
| Microsoft Corp. | 36.73 | 42.54 | 42.74 | 30.77 | — | |
| Oracle Corp. | — | 8.36 | 6.27 | 22.31 | — | |
| Palo Alto Networks Inc. | 29.54 | 32.91 | 8.11 | 46.20 | — | |
| Salesforce Inc. | 16.56 | 49.52 | 50.40 | 29.09 | — | |
| ServiceNow Inc. | 44.44 | 64.54 | 49.83 | 68.98 | — | |
| Synopsys Inc. | 33.41 | 40.55 | 45.07 | 77.64 | 19.63 | |
| P/FCFE, Sector | ||||||
| Software & Services | 30.44 | 33.85 | 25.89 | 22.16 | — | |
| P/FCFE, Industry | ||||||
| Information Technology | 26.69 | 27.52 | 23.46 | 19.14 | — | |
Based on: 10-K (reporting date: 2022-12-31), 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).
1 Data adjusted for splits and stock dividends.
3 2022 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= 10,497,000,000 ÷ 953,242,534 = 11.01
4 Closing price as at the filing date of Mastercard Inc. Annual Report.
5 2022 Calculation
P/FCFE = Share price ÷ FCFE per share
= 369.96 ÷ 11.01 = 33.60
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. | Mastercard Inc. P/FCFE ratio increased from 2020 to 2021 but then slightly decreased from 2021 to 2022 not reaching 2020 level. |