Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Associated British FoodsASBFY -0.35%80 Forward Rate of Return (Yacktman) % is 18.81% as of Aug. 2025, which is 117% above its 10-year median of 8.67. GuruFocus rates ASBFY with a GF Score™ of 80/100 and a GF Value™ of $30.20 (Fairly Valued). The stock has 2 warning signs investors should review. Among 1,404 Consumer Packaged Goods companies, Associated British Foods ranks better than 75.93% on this metric.
Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. Associated British Foods's forward rate of return for was 18.81%.
The historical rank and industry rank for Associated British Foods's Forward Rate of Return (Yacktman) % or its related term are showing as below:
ASBFY'
s Forward Rate of Return (Yacktman) % Range Over the Past 10 Years
Min: 2.21 Med: 8.67 Max: 20.05
Current: 19.08
During the past 13 years, Associated British Foods's highest Forward Rate of Return was 20.05. The lowest was 2.21. And the median was 8.67.
ASBFY's Forward Rate of Return (Yacktman) % is ranked better than 75.93% of 1404
companies
in the Consumer Packaged Goods industry
Industry Median: 8.325
vs ASBFY: 19.08
Unlike the Earnings Yield %, the Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.
Associated British Foods (OTCPK:ASBFY) Forward Rate of Return (Yacktman) % Explanation
Unlike the Earnings Yield, the Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.
For the growth part of the Forward Rate of Return calculation, GuruFocus uses the 5-year average growth rate of EBITDA per share as the growth rate, and the growth rate is always capped at 20%. For the Free Cash Flow we use per share data averaged over five years. The reason we use five years is to make it comparable to the growth rate.
Be Aware
In the Forward Rate of Return calculation, the growth rate is added directly to today's free cash flow yield. Therefore the calculation is reliable only if the company can grow at the same rate in the future as it did in the past. Investors should pay close attention to this when researching growth stocks. A more accurate measurement for return is Return on Capital.
Associated British Foods Forward Rate of Return (Yacktman) % Related Terms
Associated British Foods Forward Rate of Return (Yacktman) % Historical Data
* Premium members only.
The historical data trend for Associated British Foods's Forward Rate of Return (Yacktman) % 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.
Associated British Foods Forward Rate of Return (Yacktman) % Chart
ASBFY vs KHC, GIS: Forward Rate of Return (Yacktman) % Comparison
For the Packaged Foods subindustry, Associated British Foods's Forward Rate of Return (Yacktman) %, along with its competitors' market caps and Forward Rate of Return (Yacktman) % 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.
Associated British Foods Forward Rate of Return (Yacktman) % vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Associated British Foods's Forward Rate of Return (Yacktman) % distribution charts can be found below:
* The bar in red indicates where Associated British Foods's Forward Rate of Return (Yacktman) % falls into.
Associated British Foods Forward Rate of Return (Yacktman) % Calculation
Forward Rate of Return is a concept that Don Yacktman uses in his investment approach. Yacktman explained the forward rate of return concept in detail in his interview with GuruFocus. Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. He said in the interview (March 2012, when the S&P 500 was at about 1400):
If the business is stable, this calculation is fairly straightforward. For instance, on the S&P 500 we would normalize earnings. We would then calculate what percentage of those earnings are not reinvested in the underlying businesses and are therefore free. Historically, for the S&P 500, this has been just under 50% of earnings. Currently, we expect the S&P to earn about 70 on a normalized basis, a number which is far below reported earnings due to our adjusting for record high profit margins. $70 X ½ / 1400 gives you a normalized free cash flow yield of approximately 2.5%.
The historical real growth rate of the S&P 500 (companies) is about 1.5%. Assuming an inflation rate of 2.5%, the forward rate of return on an investment in the S&P 500 is about 6.5% today (2.5% free cash flow yield plus 1.5% real growth plus 2.5% inflation).
* 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.
What does a Forward Rate of Return (Yacktman) % of 18.81% mean?
Associated British Foods (ASBFY) has a Forward Rate of Return (Yacktman) % of 18.81% as of Aug. 2025. Yacktman's forward rate of return equals the sum of normalized free-cash-flow yield plus earnings growth. View historical data on Associated British Foods and its competitors. This is 117% above median its historical median of 8.67. Over the past decade, Associated British Foods' Forward Rate of Return (Yacktman) % has ranged from 2.21 to 20.05. According to the industry distribution chart, Associated British Foods ranks #338 out of 1404 companies in the Consumer Packaged Goods industry, placing it in the top 24.1%.
Is Associated British Foods' Forward Rate of Return (Yacktman) % too high?
Associated British Foods' current Forward Rate of Return (Yacktman) % of 18.81% is 117% above median its 10-year median of 8.67. Over the past 10 years, this metric has ranged from a low of 2.21 to a high of 20.05. The Consumer Packaged Goods industry median Forward Rate of Return (Yacktman) % is 8.33. Associated British Foods' value of 18.81% is 125.9% above this industry median. Based on the distribution chart, Associated British Foods ranks #338 out of 1404 companies in the Consumer Packaged Goods industry, which is in the top quartile — a strong position relative to peers. Overall, Associated British Foods has a GF Score™ of 80/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Associated British Foods' Forward Rate of Return (Yacktman) % compare to KHC and GIS?
According to the Consumer Packaged Goods industry distribution chart, Associated British Foods ranks #338 out of 1404 companies for Forward Rate of Return (Yacktman) %. This places Associated British Foods in the top 24% of its industry — outperforming the majority of peers. The industry median Forward Rate of Return (Yacktman) % is 8.33. Associated British Foods' value of 18.81% is 125.9% above this benchmark. Historically, Associated British Foods' own Forward Rate of Return (Yacktman) % has ranged from 2.21 to 20.05 over the past decade. While the company's 10-year median is 8.67 vs. the industry median of 8.33, Associated British Foods has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Forward Rate of Return (Yacktman) % for a Consumer Packaged Goods company?
The median Forward Rate of Return (Yacktman) % among Consumer Packaged Goods companies is 8.33, based on 1,404 companies in the industry. Companies in the top quartile (top 25%) have a Forward Rate of Return (Yacktman) % significantly above this median, while those in the bottom quartile fall well below. However, Forward Rate of Return (Yacktman) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Associated British Foods's current Forward Rate of Return (Yacktman) % of 18.81% is 125.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Forward Rate of Return (Yacktman) % mean?
A high Forward Rate of Return (Yacktman) % can signal that a stock is expensive relative to its fundamentals. Yacktman's forward rate of return equals the sum of normalized free-cash-flow yield plus earnings growth. View historical data on Associated British Foods and its competitors. For the Consumer Packaged Goods industry, the median Forward Rate of Return (Yacktman) % is 8.33 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Associated British Foods's current Forward Rate of Return (Yacktman) % is 18.81%, which is 117% above median its own 10-year median of 8.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Associated British Foods stock overvalued right now?
Based on GuruFocus' analysis, Associated British Foods (ASBFY) is currently considered Fairly Valued. The stock's GF Value™ is $30.20, compared to a current price of $28.14 — trading 6.8% below its estimated fair value. The current Forward Rate of Return (Yacktman) % is 18.81%, which is 117% above median its 10-year median of 8.67 and 125.9% above the Consumer Packaged Goods industry median of 8.33. Associated British Foods' overall GF Score™ is 80/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Forward Rate of Return (Yacktman) % calculated?
Forward Rate of Return (Yacktman) % is calculated from a company's financial statements. For Associated British Foods (ASBFY), the current Forward Rate of Return (Yacktman) % is 18.81% as of Aug. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Associated British Foods (ASBFY) Overvalued in 2026?
Based on GuruFocus' analysis, Associated British Foods stock appears to be undervalued.
The current stock price of $28.14 is trading 6.8% below its estimated GF Value™ of $30.20.
GuruFocus considers Associated British Foods to be Fairly Valued.
Key valuation signals for ASBFY:
Forward Rate of Return (Yacktman) %: 18.81% (117% above median its 10-year median of 8.67)
GF Value™: $30.20 vs. price of $28.14 (6.8% below fair value)
Industry Position: 125.9% above the Consumer Packaged Goods median (#338 of 1404)
No single metric tells the full story. See the ASBFY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Associated British Foods is a diversified international food, ingredients, and retail group with 138,000 employees and operations in 56 countries across Europe, Africa, the Americas, Asia, and Australia. The group sells branded groceries, grows and processes sugar, supplies farmers with crop input and animal feed, and runs the multinational Primark clothing retail chain. It also supplies ingredients like bakers' yeast, enzymes, lipids, and cereal specialties. In fiscal 2025, approximately 36% of sales came from the UK, and Primark accounted for around 60% of operating profit.On April 21, 2026, ABF announced it plans to separate Primark and the food businesses. Subject to approvals, the demerger is expected to become effective at the end of 2027.
80GF Score
Get the complete analysis for ASBFY
Forward Rate of Return (Yacktman) % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
ASBFY has been successfully added to your 
