Floor & Decor Holdings (FRA:1FD) Forward Rate of Return (Yacktman) %: 2.44% (As of Jun. 2026) — 88% Below Median

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FRA:1FD Floor & Decor Holdings Inc FRA:1FD
79 GF Score
Price €43.20
GF Value €78.98
Valuation Significantly Undervalued
! 6 Warning Signs
View Full Analysis

What is Floor & Decor Holdings Forward Rate of Return (Yacktman) %?

Floor & Decor Holdings FRA:1FD +5.37% 79 Forward Rate of Return (Yacktman) % is 2.44% as of Jun. 2026, which is 88% below its 10-year median of 20.07. GuruFocus rates FRA:1FD with a GF Score™ of 79/100 and a GF Value™ of €78.98 (Significantly Undervalued). The stock has 6 warning signs investors should review. Among 790 Retail - Cyclical companies, Floor & Decor Holdings ranks worse than 71.39% on this metric.

Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. Floor & Decor Holdings's forward rate of return for was 2.44%.

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

FRA:1FD' s Forward Rate of Return (Yacktman) % Range Over the Past 10 Years
Min: 2.42   Med: 20.07   Max: 20.65
Current: 2.5

During the past 13 years, Floor & Decor Holdings's highest Forward Rate of Return was 20.65. The lowest was 2.42. And the median was 20.07.

FRA:1FD's Forward Rate of Return (Yacktman) % is ranked worse than
71.39% of 790 companies
in the Retail - Cyclical industry
Industry Median: 12.75 vs FRA:1FD: 2.50

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.


Floor & Decor Holdings  (FRA:1FD) 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.


Floor & Decor Holdings Forward Rate of Return (Yacktman) % Related Terms


Floor & Decor Holdings Forward Rate of Return (Yacktman) % Historical Data

* Premium members only.

The historical data trend for Floor & Decor 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.

Floor & Decor Holdings Forward Rate of Return (Yacktman) % Chart

Floor & Decor Holdings Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Forward Rate of Return (Yacktman) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 20.19 19.45 20.02 17.25 5.89

Floor & Decor Holdings Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Forward Rate of Return (Yacktman) % 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 12.11 8.67 5.89 3.56 2.44

FRA:1FD vs HVT, TTSH, LIVE: Forward Rate of Return (Yacktman) % Comparison

For the Home Improvement Retail subindustry, Floor & Decor 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.


Floor & Decor Holdings Forward Rate of Return (Yacktman) % vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Floor & Decor Holdings's Forward Rate of Return (Yacktman) % distribution charts can be found below:

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


FRA:1FD
79GF Score
Floor & Decor Holdings Inc FRA:1FD
Forward Rate of Return (Yacktman) % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Floor & Decor 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).

Floor & Decor Holdings's Forward Rate of Return of Jun. 2026 is

Forward Rate of Return=Normalized Free Cash Flow/Price+5-Year EBITDA Growth Rate
=0.14838095/51+0.0247
=2.76 %

* 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 2.44% mean?
Floor & Decor Holdings (FRA:1FD) has a Forward Rate of Return (Yacktman) % of 2.44% as of Jun. 2026. Yacktman's forward rate of return equals the sum of normalized free-cash-flow yield plus earnings growth. View historical data on Floor & Decor Holdings and its competitors. This is 88% below median its historical median of 20.07. Over the past decade, Floor & Decor Holdings' Forward Rate of Return (Yacktman) % has ranged from 2.42 to 20.65. According to the industry distribution chart, Floor & Decor Holdings ranks #564 out of 790 companies in the Retail - Cyclical industry, placing it in the top 71.4%.
Is Floor & Decor Holdings' Forward Rate of Return (Yacktman) % too high?
Floor & Decor Holdings' current Forward Rate of Return (Yacktman) % of 2.44% is 88% below median its 10-year median of 20.07. Over the past 10 years, this metric has ranged from a low of 2.42 to a high of 20.65. The Retail - Cyclical industry median Forward Rate of Return (Yacktman) % is 12.75. Floor & Decor Holdings' value of 2.44% is 80.9% below this industry median. Based on the distribution chart, Floor & Decor Holdings ranks #564 out of 790 companies in the Retail - Cyclical industry, which is below the industry midpoint. Overall, Floor & Decor Holdings has a GF Score™ of 79/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Floor & Decor Holdings' Forward Rate of Return (Yacktman) % compare to HVT and TTSH?
According to the Retail - Cyclical industry distribution chart, Floor & Decor Holdings ranks #564 out of 790 companies for Forward Rate of Return (Yacktman) %. This places Floor & Decor Holdings in the lower half of its industry. The industry median Forward Rate of Return (Yacktman) % is 12.75. Floor & Decor Holdings' value of 2.44% is 80.9% below this benchmark. Historically, Floor & Decor Holdings' own Forward Rate of Return (Yacktman) % has ranged from 2.42 to 20.65 over the past decade. While the company's 10-year median is 20.07 vs. the industry median of 12.75, Floor & Decor Holdings has consistently been below 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 Retail - Cyclical company?
The median Forward Rate of Return (Yacktman) % among Retail - Cyclical companies is 12.75, based on 790 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. Floor & Decor Holdings's current Forward Rate of Return (Yacktman) % of 2.44% is 80.9% below 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 Floor & Decor Holdings and its competitors. For the Retail - Cyclical industry, the median Forward Rate of Return (Yacktman) % is 12.75 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Floor & Decor Holdings's current Forward Rate of Return (Yacktman) % is 2.44%, which is 88% below median its own 10-year median of 20.07. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Floor & Decor Holdings stock overvalued right now?
Based on GuruFocus' analysis, Floor & Decor Holdings (FRA:1FD) is currently considered Significantly Undervalued. The stock's GF Value™ is €78.98, compared to a current price of €43.20 — trading 45.3% below its estimated fair value. The current Forward Rate of Return (Yacktman) % is 2.44%, which is 88% below median its 10-year median of 20.07 and 80.9% below the Retail - Cyclical industry median of 12.75. Floor & Decor Holdings' overall GF Score™ is 79/100 with 6 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 Floor & Decor Holdings (FRA:1FD), the current Forward Rate of Return (Yacktman) % is 2.44% as of Jun. 2026. 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 Floor & Decor Holdings (FRA:1FD) Overvalued in 2026?

Based on GuruFocus' analysis, Floor & Decor Holdings stock appears to be undervalued. The current stock price of €43.20 is trading 45.3% below its estimated GF Value™ of €78.98. GuruFocus considers Floor & Decor Holdings to be Significantly Undervalued.

Key valuation signals for FRA:1FD:

  • Forward Rate of Return (Yacktman) %: 2.44% (88% below median its 10-year median of 20.07)
  • GF Value™: €78.98 vs. price of €43.20 (45.3% below fair value)
  • GF Score™: 79/100 with 6 warning signs
  • Industry Position: 80.9% below the Retail - Cyclical median (#564 of 790)

No single metric tells the full story. See the FRA:1FD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Floor & Decor Holdings Business Description

Other Exchanges FND:USA
Address 2500 Windy Ridge Parkway SE, Atlanta, GA, USA, 30339
Floor & Decor Holdings Inc operates as a specialty retailer in the hard surface flooring market. Its stores offer a range of tile, wood, laminate, and natural stone flooring products, as well as decorative and installation accessories at everyday low prices. It appeals to a variety of customers including professional installers, commercial businesses, Do It Yourself (DIY) customers, and customers who buy the products for professional installation. Geographically, the group has a presence in the United States region and also offers its product through an e-commerce site. The company segments include retail segment and others.
79GF Score

Get the complete analysis for FRA:1FD

Forward Rate of Return (Yacktman) % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€43.20
Price
€78.98
GF Value