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Wal-Mart Stores Inc (NYSE:WMT)
Price-to-Free-Cash-Flow Ratio
20.67 (As of Today)

As of today, Wal-Mart Stores Inc's share price is $75.85. Wal-Mart Stores Inc's Free Cash Flow per Share for the trailing twelve months (TTM) ended in Apr. 2014 was $3.67. Hence, Wal-Mart Stores Inc's Price-to-Free-Cash-Flow Ratio for today is 20.67.

WMT' s 10-Year Price-to-Free-Cash-Flow ratio Range
Min: 12.6   Max: 132.87
Current: 20.67

12.6
132.87

During the past 13 years, Wal-Mart Stores Inc's highest Price-to-Free-Cash-Flow Ratio was 132.87. The lowest was 12.60. And the median was 23.43.

WMT's Price-to-Free-Cash-Flow ratiois ranked higher than
85% of the 519 Companies
in the Global Discount Stores industry.

( Industry Median: 162.00 vs. WMT: 20.67 )

Wal-Mart Stores Inc's Free Cash Flow per Share for the three months ended in Apr. 2014 was $1.16. Its Free Cash Flow per Share for the trailing twelve months (TTM) ended in Apr. 2014 was $3.67.

During the past 12 months, the average Free Cash Flow per Share Growth Rate of Wal-Mart Stores Inc was 6.70% per year. During the past 3 years, the average Free Cash Flow per Share Growth Rate was 1.20% per year. During the past 5 years, the average Free Cash Flow per Share Growth Rate was -0.90% per year. During the past 10 years, the average Free Cash Flow per Share Growth Rate was 24.20% per year.

During the past 13 years, Wal-Mart Stores Inc's highest 3-Year average Free Cash Flow per Share Growth Rate was 59.30% per year. The lowest was -29.30% per year. And the median was 1.60% per year.


Definition

Wal-Mart Stores 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)
=75.85/3.67
=20.67

Wal-Mart Stores Inc's Share Price of today is $75.85.
Wal-Mart Stores Inc's Free Cash Flow per Share for the trailing twelve months (TTM) ended in Apr. 2014 was 0.99 (Jul. 2013 ) + -0.42 (Oct. 2013 ) + 1.94 (Jan. 2014 ) + 1.16 (Apr. 2014 ) = $3.67.

* All numbers are in millions except for per share data and ratio. All numbers are in their own 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 own currency.

Wal-Mart Stores Inc Annual Data

Jan05Jan06Jan07Jan08Jan09Jan10Jan11Jan12Jan13Jan14
pfcf 102.7562.3144.1637.3115.9714.5618.4419.6718.6524.17

Wal-Mart Stores Inc Quarterly Data

Apr12Jul12Oct12Jan13Apr13Jul13Oct13Jan14Apr14Jul14
pfcf 14.2619.9017.8618.6522.5922.0226.9324.1721.720.00
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