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CF Industries Holdings (CF Industries Holdings) Intrinsic Value: Projected FCF : $163.11 (As of Apr. 24, 2024)


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CF Industries Holdings Intrinsic Value: Projected FCF Definition

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company. The details of how we calculate the intrinsic value of stocks are described in detail here.

As of today (2024-04-24), CF Industries Holdings's Intrinsic Value: Projected FCF is $163.11. The stock price of CF Industries Holdings is $79.25. Therefore, CF Industries Holdings's Price-to-Intrinsic-Value-Projected-FCF of today is 0.5.

The historical rank and industry rank for CF Industries Holdings's Intrinsic Value: Projected FCF or its related term are showing as below:

CF' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 0.48   Med: 1.45   Max: 4.89
Current: 0.49

During the past 13 years, the highest Price-to-Intrinsic-Value-Projected-FCF of CF Industries Holdings was 4.89. The lowest was 0.48. And the median was 1.45.

CF's Price-to-Projected-FCF is ranked better than
84.88% of 172 companies
in the Agriculture industry
Industry Median: 0.94 vs CF: 0.49

CF Industries Holdings Intrinsic Value: Projected FCF Historical Data

The historical data trend for CF Industries Holdings's Intrinsic Value: Projected FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

CF Industries Holdings Intrinsic Value: Projected FCF Chart

CF Industries Holdings Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Intrinsic Value: Projected FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 10.15 18.73 48.33 136.57 163.11

CF Industries Holdings Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Intrinsic Value: Projected FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 136.57 153.51 160.77 158.87 163.11

Competitive Comparison

For the Agricultural Inputs subindustry, CF Industries Holdings's Price-to-Projected-FCF, along with its competitors' market caps and Price-to-Projected-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


CF Industries Holdings Price-to-Projected-FCF Distribution

For the Agriculture industry and Basic Materials sector, CF Industries Holdings's Price-to-Projected-FCF distribution charts can be found below:

* The bar in red indicates where CF Industries Holdings's Price-to-Projected-FCF falls into.



CF Industries Holdings Intrinsic Value: Projected FCF Calculation

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company.

The details of how we calculate the intrinsic value of stocks are described in detail here.

This method smooths out the free cash flow over the past 6-7 years, multiplies the results by a growth multiple, and adds a portion of Total Stockholders Equity.

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + 0.8 * Total Stockholders Equity (most recent) ) / Shares Outstanding (Diluted Average)

In the case of negative Total Stockholders Equity, the following formula is used (see Explanation section below for the reason):

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + Total Stockholders Equity (most recent) / 0.8 ) / Shares Outstanding (Diluted Average)


Add all the Free Cash Flow together and divide 6 will get CF Industries Holdings's Free Cash Flow(6 year avg) = $1,782.88.

CF Industries Holdings's Intrinsic Value: Projected FCF for today is calculated as

Intrinsic Value: Projected FCF=(Growth Multiple*Free Cash Flow (6 year avg)+Total Stockholders Equity (Dec23)*0.8)/Shares Outstanding (Diluted Average)
=(14.862653310476*1782.88+5717*0.8)/190.500
=163.11

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


CF Industries Holdings  (NYSE:CF) Intrinsic Value: Projected FCF Explanation

The growth multiple is capped between 8.35 and 17.74.

Total Stockholders Equity weighting is more art than science and it should always be revisited in more detail when researching a company. Weightings from 0% to 100% to more than 100% are possible. 80% was chosen as a happy median after taking the above ideas into consideration.

CF Industries Holdings's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=79.25/163.10723010069
=0.49

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


CF Industries Holdings Intrinsic Value: Projected FCF Related Terms

Thank you for viewing the detailed overview of CF Industries Holdings's Intrinsic Value: Projected FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


CF Industries Holdings (CF Industries Holdings) Business Description

Traded in Other Exchanges
Address
4 Parkway North, Suite 400, Deerfield, IL, USA, 60015
CF Industries is a leading producer and distributor of nitrogen, which is primarily used in fertilizers. The company operates nitrogen manufacturing plants primarily in North America. CF also produces nitrogen in the United Kingdom and holds a joint venture interest in a nitrogen production facility in Trinidad and Tobago. CF makes nitrogen primarily using low-cost U.S. natural gas as its feedstock, making CF one of the lowest-cost nitrogen producers globally. The company is also investing in carbon-free blue and green ammonia, which can be used an alternative fuel to hydrogen or as a means to transport hydrogen.
Executives
Bert A Frost officer: VP, Sales and Mkt Development C/O CF INDUSTRIES HOLDINGS, INC., 4 PARKWAY NORTH, SUITE 400, DEERFIELD IL 60015
Susan A Ellerbusch director C/O SUMMIT MATERIALS, INC., 1550 WYNKOOP STREET, 3RD FLOOR, DENVER CO 80202
Douglas C Barnard officer: VP, General Counsel, Secretary C/O CF INDUSTRIES, INC., ONE SALEM LAKE DRIVE, LONG GROVE IL 60047
Michael Patrick Mcgrane officer: VP, Gen. Counsel & Secretary C/O CF INDUSTRIES HOLDINGS, INC., 4 PARKWAY NORTH, DEERFIELD IL 60015
Anne P Noonan director 25435 HARVARD RD, BEACHWOOD OH 44122
Christopher D Bohn officer: VP, Supply Chain C/O CF INDUSTRIES HOLDINGS, INC., 4 PARKWAY NORTH, SUITE 400, DEERFIELD IL 60015
W Anthony Will officer: VP, Corporate Development C/O CF INDUSTRIES HOLDINGS, INC., 4 PARKWAY NORTH, SUITE 400, DEERFIELD IL 60015
Richard A Hoker officer: VP and Corporate Controller C/O CF INDUSTRIES HOLDINGS, INC., 4 PARKWAY NORTH, SUITE 400, DEERFIELD IL 60015
Ashraf K Malik officer: Sr. VP, Manufacturing & D'istn C/O CF INDUSTRIES HOLDINGS, INC., 4 PARKWAY NORTH, SUITE 400, DEERFIELD IL 60015
Stephen A Furbacher director 1000 LOUISIANA ST, STE 5800, HOUSTON TX 77002
Susan L Menzel officer: Sr. VP, Human Resources C/O CF INDUSTRIES HOLDINGS, INC., FOUR PARKWAY NORTH, DEERFIELD IL 60015
Robert C Arzbaecher director ACTUANT CORP, 13000 WEST SILVER SPRING DRIVE, BUTLER WI 53007
Yris Jesus Madrazo director C/O CF INDUSTRIES HOLDINGS, INC., 4 PARKWAY NORTH, DEERFIELD IL 60015
Deborah L Dehaas director 3005 HIGHLAND PARKWAY, SUITE 200, DOWNERS GROVE IL 60515
David P Hopkins officer: Managing Dir. CF Fert. UK C/O CF INDUSTRIES HOLDINGS, INC., 4 PARKWAY NORTH, SUITE 400, DEERFIELD IL 60015