Fauji Fertilizer Co (KAR:FFC) Forward Rate of Return (Yacktman) %: 26.77% (As of Jun. 2026) — Near Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
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.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
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.

KAR:FFC Fauji Fertilizer Co Ltd KAR:FFC
93 GF Score
Price ₨539.03
GF Value ₨487.74
Valuation Modestly Overvalued
! 4 Warning Signs
View Full Analysis

What is Fauji Fertilizer Co Forward Rate of Return (Yacktman) %?

Fauji Fertilizer Co KAR:FFC +1.51% 93 Forward Rate of Return (Yacktman) % is 26.77% as of Jun. 2026, which is 2% above its 10-year median of 26.14. GuruFocus rates KAR:FFC with a GF Score™ of 93/100 and a GF Value™ of ₨487.74 (Modestly Overvalued). The stock has 4 warning signs investors should review. Among 204 Agriculture companies, Fauji Fertilizer Co ranks better than 93.63% on this metric.

Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. Fauji Fertilizer Co's forward rate of return for was 26.77%.

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

KAR:FFC' s Forward Rate of Return (Yacktman) % Range Over the Past 10 Years
Min: -0.01   Med: 26.14   Max: 43.41
Current: 26.28

During the past 13 years, Fauji Fertilizer Co's highest Forward Rate of Return was 43.41. The lowest was -0.01. And the median was 26.14.

KAR:FFC's Forward Rate of Return (Yacktman) % is ranked better than
93.63% of 204 companies
in the Agriculture industry
Industry Median: 6.865 vs KAR:FFC: 26.28

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.


Fauji Fertilizer Co  (KAR:FFC) 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.


Fauji Fertilizer Co Forward Rate of Return (Yacktman) % Related Terms


Fauji Fertilizer Co Forward Rate of Return (Yacktman) % Historical Data

* Premium members only.

The historical data trend for Fauji Fertilizer Co'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.

Fauji Fertilizer Co Forward Rate of Return (Yacktman) % Chart

Fauji Fertilizer Co 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 34.87 37.35 40.09 29.39 26.10

Fauji Fertilizer Co 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 27.61 27.38 26.11 27.32 26.77

KAR:FFC vs CTVA, CF, MOS: Forward Rate of Return (Yacktman) % Comparison

For the Agricultural Inputs subindustry, Fauji Fertilizer Co'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.


Fauji Fertilizer Co Forward Rate of Return (Yacktman) % vs Agriculture Industry

For the Agriculture industry and Basic Materials sector, Fauji Fertilizer Co's Forward Rate of Return (Yacktman) % distribution charts can be found below:

* The bar in red indicates where Fauji Fertilizer Co's Forward Rate of Return (Yacktman) % falls into.


KAR:FFC
93GF Score
Fauji Fertilizer Co Ltd KAR:FFC
Forward Rate of Return (Yacktman) % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Fauji Fertilizer Co 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).

Fauji Fertilizer Co's Forward Rate of Return of Jun. 2026 is

Forward Rate of Return=Normalized Free Cash Flow/Price+5-Year EBITDA Growth Rate
=38.82857143/573.48+0.2
=26.77 %

* 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 26.77% mean?
Fauji Fertilizer Co (KAR:FFC) has a Forward Rate of Return (Yacktman) % of 26.77% 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 Fauji Fertilizer Co and its competitors. This is near median its historical median of 26.14. According to the industry distribution chart, Fauji Fertilizer Co ranks #13 out of 204 companies in the Agriculture industry, placing it in the top 6.4%.
Is Fauji Fertilizer Co's Forward Rate of Return (Yacktman) % too high?
Fauji Fertilizer Co's current Forward Rate of Return (Yacktman) % of 26.77% is near median its 10-year median of 26.14. The Agriculture industry median Forward Rate of Return (Yacktman) % is 6.87. Fauji Fertilizer Co's value of 26.77% is 289.9% above this industry median. Based on the distribution chart, Fauji Fertilizer Co ranks #13 out of 204 companies in the Agriculture industry, which is in the top quartile — a strong position relative to peers. Overall, Fauji Fertilizer Co has a GF Score™ of 93/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Fauji Fertilizer Co's Forward Rate of Return (Yacktman) % compare to CTVA and CF?
According to the Agriculture industry distribution chart, Fauji Fertilizer Co ranks #13 out of 204 companies for Forward Rate of Return (Yacktman) %. This places Fauji Fertilizer Co in the top 6% of its industry — outperforming the majority of peers. The industry median Forward Rate of Return (Yacktman) % is 6.87. Fauji Fertilizer Co's value of 26.77% is 289.9% above this benchmark. While the company's 10-year median is 26.14 vs. the industry median of 6.87, Fauji Fertilizer Co 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 an Agriculture company?
The median Forward Rate of Return (Yacktman) % among Agriculture companies is 6.87, based on 204 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. Fauji Fertilizer Co's current Forward Rate of Return (Yacktman) % of 26.77% is 289.9% 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 Fauji Fertilizer Co and its competitors. For the Agriculture industry, the median Forward Rate of Return (Yacktman) % is 6.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Fauji Fertilizer Co's current Forward Rate of Return (Yacktman) % is 26.77%, which is near median its own 10-year median of 26.14. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Fauji Fertilizer Co stock overvalued right now?
Based on GuruFocus' analysis, Fauji Fertilizer Co (KAR:FFC) is currently considered Modestly Overvalued. The stock's GF Value™ is ₨487.74, compared to a current price of ₨539.03 — trading 10.5% above its estimated fair value. The current Forward Rate of Return (Yacktman) % is 26.77%, which is near median its 10-year median of 26.14 and 289.9% above the Agriculture industry median of 6.87. Fauji Fertilizer Co's overall GF Score™ is 93/100 with 4 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 Fauji Fertilizer Co (KAR:FFC), the current Forward Rate of Return (Yacktman) % is 26.77% 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 Fauji Fertilizer Co (KAR:FFC) Overvalued in 2026?

Based on GuruFocus' analysis, Fauji Fertilizer Co stock appears to be overvalued. The current stock price of ₨539.03 is trading 10.5% above its estimated GF Value™ of ₨487.74. GuruFocus considers Fauji Fertilizer Co to be Modestly Overvalued.

Key valuation signals for KAR:FFC:

  • Forward Rate of Return (Yacktman) %: 26.77% (near median its 10-year median of 26.14)
  • GF Value™: ₨487.74 vs. price of ₨539.03 (10.5% above fair value)
  • GF Score™: 93/100 with 4 warning signs
  • Industry Position: 289.9% above the Agriculture median (#13 of 204)

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


Fauji Fertilizer Co Business Description

Address 156 - The Mall, Rawalpindi Cantt, Sona Tower, Rawalpindi, PB, PAK
Fauji Fertilizer Co Ltd is a urea manufacturing company. The company's operating segment includes Fertilizers; Power; Food and Technical Services. It generates maximum revenue from the Fertilizers segment. The Fertilizers segment includes buying, manufacturing, and distributing fertilizer. Its Power segment includes producing and selling power, The Food segment includes processing fresh and frozen fruits, vegetables, frozen cooked and semi-cooked food, and the Technical Services segment is engaged in the provision of technical, maintenance, operations, inspection, and IT services.
93GF Score

Get the complete analysis for KAR:FFC

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

₨539.03
Price
₨487.74
GF Value