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JC Penney Co Inc (NYSE:JCP)
Price-to-Free-Cash-Flow Ratio
39.88 (As of Today)

As of today, JC Penney Co Inc's share price is $10.21. JC Penney Co Inc's Free Cash Flow per Share for the trailing twelve months (TTM) ended in Jul. 2016 was $0.26. Hence, JC Penney Co Inc's Price-to-Free-Cash-Flow Ratio for today is 39.88.

JCP' s Price-to-Free-Cash-Flow ratio Range Over the Past 10 Years
Min: 5.87   Max: 976
Current: 35.54

5.87
976

During the past 13 years, JC Penney Co Inc's highest Price-to-Free-Cash-Flow Ratio was 976.00. The lowest was 5.87. And the median was 24.85.

JCP's Price-to-Free-Cash-Flow ratio is ranked lower than
71% of the 392 Companies
in the Global Department Stores industry.

( Industry Median: 16.34 vs. JCP: 35.54 )

JC Penney Co Inc's Free Cash Flow per Share for the three months ended in Jul. 2016 was $0.21. Its Free Cash Flow per Share for the trailing twelve months (TTM) ended in Jul. 2016 was $0.26.

During the past 13 years, JC Penney Co Inc's highest 3-Year average Free Cash Flow per Share Growth Rate was 113.80% per year. The lowest was -37.80% per year. And the median was 20.50% per year.


Definition

JC Penney Co Inc's Price-to-Free-Cash-Flow ratio for today is calculated as

Price-to-Free-Cash-Flow Ratio=Share Price/Free Cash Flow per Share (TTM)
=10.21/0.256
=39.88

JC Penney Co Inc's Share Price of today is $10.21.
JC Penney Co Inc's Free Cash Flow per Share for the trailing twelve months (TTM) ended in Jul. 2016 was -1.062 (Oct. 2015 ) + 2.517 (Jan. 2016 ) + -1.41 (Apr. 2016 ) + 0.211 (Jul. 2016 ) = $0.26.

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

It can also be calculated from the numbers for the whole company:

Price-to-Free-Cash-Flow Ratio=Market Cap/Free Cash Flow

Explanation

Free Cash Flow is considered more important than earnings by value investors. The reason is because, in principle, only the net cash that can be taken from the business belongs to shareholders. This Free Cash Flow can be used to grow the business, reduce debt or return to shareholders in dividends or share buybacks.

In a DCF Calculation Free Cash Flow is used to determine the intrinsic value of companies.


Be Aware

In real business, Free Cash Flow can be affected by the change in accounts receivable, accounts payable, management’s decision on expansion, etc. Therefore, investors should look at the Free Cash Flow over the longer term. Long-term average of Free Cash Flow is a more reliable indicator for real free cash flow.


Related Terms

Free Cash Flow, Free Cash Flow per Share, P/S Ratio, P/B Ratio, P/E Ratio


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

JC Penney Co Inc Annual Data

Jan07Jan08Jan09Jan10Jan11Jan12Jan13Jan14Jan15Jan16
pfcf 38.28947.0020.255.9682.0250.060.000.000.0018.52

JC Penney Co Inc Quarterly Data

Jul14Oct14Jan15Apr15Jul15Oct15Jan16Apr16Jul16Oct16
pfcf 0.000.000.0038.070.000.0018.520.0037.7329.02
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