Prophecy International Holdings (ASX:PRO) Forward Rate of Return (Yacktman) %: 0.00% (As of Jun. 2025)

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What is Prophecy International Holdings Forward Rate of Return (Yacktman) %?

Prophecy International Holdings ASX:PRO Forward Rate of Return (Yacktman) % is 0.00% as of Jun. 2025. The stock has 4 warning signs investors should review. Among 1,371 Software companies, Prophecy International Holdings ranks worse than 83.66% on this metric.

Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. Prophecy International Holdings's forward rate of return for was 0.00%.

The historical rank and industry rank for Prophecy International Holdings's Forward Rate of Return (Yacktman) % or its related term are showing as below:

ASX:PRO' s Forward Rate of Return (Yacktman) % Range Over the Past 10 Years
Min: -47.77   Med: -12.29   Max: 3.24
Current: -9.88

During the past 13 years, Prophecy International Holdings's highest Forward Rate of Return was 3.24. The lowest was -47.77. And the median was -12.29.

ASX:PRO's Forward Rate of Return (Yacktman) % is ranked worse than
83.66% of 1371 companies
in the Software industry
Industry Median: 13.36 vs ASX:PRO: -9.88

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.


Prophecy International Holdings  (ASX:PRO) 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.


Prophecy International Holdings Forward Rate of Return (Yacktman) % Related Terms


Prophecy International Holdings Forward Rate of Return (Yacktman) % Historical Data

* Premium members only.

The historical data trend for Prophecy International Holdings'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.

Prophecy International Holdings Forward Rate of Return (Yacktman) % Chart

Prophecy International Holdings Annual Data
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Forward Rate of Return (Yacktman) %
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Prophecy International Holdings Semi-Annual Data
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ASX:PRO vs QH, SHOP, UBER: Forward Rate of Return (Yacktman) % Comparison

For the Software - Application subindustry, Prophecy International Holdings'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.


Prophecy International Holdings Forward Rate of Return (Yacktman) % vs Software Industry

For the Software industry and Technology sector, Prophecy International Holdings's Forward Rate of Return (Yacktman) % distribution charts can be found below:

* The bar in red indicates where Prophecy International Holdings's Forward Rate of Return (Yacktman) % falls into.



Prophecy International Holdings 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).

Prophecy International Holdings's Forward Rate of Return of Jun. 2025 is

Forward Rate of Return=Normalized Free Cash Flow/Price+5-Year EBITDA Growth Rate
=0.029/0.43+-0.5131
=-44.57 %

* 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 0.00% mean?
Prophecy International Holdings (ASX:PRO) has a Forward Rate of Return (Yacktman) % of 0.00% as of Jun. 2025. Yacktman's forward rate of return equals the sum of normalized free-cash-flow yield plus earnings growth. View historical data on Prophecy International Holdings and its competitors. According to the industry distribution chart, Prophecy International Holdings ranks #1147 out of 1371 companies in the Software industry, placing it in the top 83.7%.
Is Prophecy International Holdings' Forward Rate of Return (Yacktman) % too high?
Prophecy International Holdings' current Forward Rate of Return (Yacktman) % is 0.00%. Based on the distribution chart, Prophecy International Holdings ranks #1147 out of 1371 companies in the Software industry, which is in the bottom quartile relative to peers.
How does Prophecy International Holdings' Forward Rate of Return (Yacktman) % compare to QH and SHOP?
According to the Software industry distribution chart, Prophecy International Holdings ranks #1147 out of 1371 companies for Forward Rate of Return (Yacktman) %. This places Prophecy International Holdings in the lower half of its industry. The industry median Forward Rate of Return (Yacktman) % is 13.36. 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 Software company?
The median Forward Rate of Return (Yacktman) % among Software companies is 13.36, based on 1,371 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. 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 Prophecy International Holdings and its competitors. For the Software industry, the median Forward Rate of Return (Yacktman) % is 13.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Prophecy International Holdings's current Forward Rate of Return (Yacktman) % is 0.00%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Prophecy International Holdings stock overvalued right now?
Based on GuruFocus' analysis, Prophecy International Holdings (ASX:PRO) is currently considered Possible Value Trap. The stock's GF Value™ is A$0.57, compared to a current price of A$0.07 — trading 87.7% below its estimated fair value. The current Forward Rate of Return (Yacktman) % is 0.00%. 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 Prophecy International Holdings (ASX:PRO), the current Forward Rate of Return (Yacktman) % is 0.00% as of Jun. 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.

Prophecy International Holdings Business Description

Address 60 Waymouth Street, Level 5, Adelaide, SA, AUS, 5000
Prophecy International Holdings Ltd designs, develops and markets computer software applications and services. The company's product includes Snare a comprehensive set of event monitoring and analysis tools designed to address critical auditing and security requirements and eMite a service intelligence platform delivering personalized, role-based dashboards for IT service management. Its operating segment includes Legacy; Snare and eMite. The company generates maximum revenue from the eMite segment. Geographically, the company derives a majority of its revenue from the North America.