Far Eastern University (PHS:FEU) Forward Rate of Return (Yacktman) %: 21.20% (As of Feb. 2026) — 39% Above Median

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PHS:FEU Far Eastern University Inc PHS:FEU
85 GF Score
Price ₱800.50
GF Value ₱823.86
Valuation Fairly Valued
! 1 Warning Sign
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What is Far Eastern University Forward Rate of Return (Yacktman) %?

Far Eastern University PHS:FEU 85 Forward Rate of Return (Yacktman) % is 21.20% as of Feb. 2026, which is 39% above its 10-year median of 15.24. GuruFocus rates PHS:FEU with a GF Score™ of 85/100 and a GF Value™ of ₱823.86 (Fairly Valued). The stock has 1 warning sign investors should review. Among 169 Education companies, Far Eastern University ranks better than 62.13% on this metric.

Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. Far Eastern University's forward rate of return for was 21.20%.

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

PHS:FEU' s Forward Rate of Return (Yacktman) % Range Over the Past 10 Years
Min: -4.25   Med: 15.24   Max: 28.03
Current: 21.43

During the past 13 years, Far Eastern University's highest Forward Rate of Return was 28.03. The lowest was -4.25. And the median was 15.24.

PHS:FEU's Forward Rate of Return (Yacktman) % is ranked better than
62.13% of 169 companies
in the Education industry
Industry Median: 16.28 vs PHS:FEU: 21.43

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.


Far Eastern University  (PHS:FEU) 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.


Far Eastern University Forward Rate of Return (Yacktman) % Related Terms


Far Eastern University Forward Rate of Return (Yacktman) % Historical Data

* Premium members only.

The historical data trend for Far Eastern University'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.

Far Eastern University Forward Rate of Return (Yacktman) % Chart

Far Eastern University Annual Data
Trend Mar16 May17 May18 May19 May20 May21 May22 May23 May24 May25
Forward Rate of Return (Yacktman) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.64 13.73 22.70 24.77 27.16

Far Eastern University Quarterly Data
May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26
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 27.78 27.16 26.32 23.48 21.20

PHS:FEU vs EDU, TAL, LAUR: Forward Rate of Return (Yacktman) % Comparison

For the Education & Training Services subindustry, Far Eastern University'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.


Far Eastern University Forward Rate of Return (Yacktman) % vs Education Industry

For the Education industry and Consumer Defensive sector, Far Eastern University's Forward Rate of Return (Yacktman) % distribution charts can be found below:

* The bar in red indicates where Far Eastern University's Forward Rate of Return (Yacktman) % falls into.


PHS:FEU
85GF Score
Far Eastern University Inc PHS:FEU
Forward Rate of Return (Yacktman) % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Far Eastern University 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).

Far Eastern University's Forward Rate of Return of Feb. 2026 is

Forward Rate of Return=Normalized Free Cash Flow/Price+5-Year EBITDA Growth Rate
=47.96685714/832.5+0.1544
=21.20 %

* 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 21.20% mean?
Far Eastern University (PHS:FEU) has a Forward Rate of Return (Yacktman) % of 21.20% as of Feb. 2026. Yacktman's forward rate of return equals the sum of normalized free-cash-flow yield plus earnings growth. View historical data on Far Eastern University and its competitors. This is 39% above median its historical median of 15.24. According to the industry distribution chart, Far Eastern University ranks #64 out of 169 companies in the Education industry, placing it in the top 37.9%.
Is Far Eastern University's Forward Rate of Return (Yacktman) % too high?
Far Eastern University's current Forward Rate of Return (Yacktman) % of 21.20% is 39% above median its 10-year median of 15.24. The Education industry median Forward Rate of Return (Yacktman) % is 16.28. Far Eastern University's value of 21.20% is 30.2% above this industry median. Based on the distribution chart, Far Eastern University ranks #64 out of 169 companies in the Education industry, which is above the industry midpoint. Overall, Far Eastern University has a GF Score™ of 85/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Far Eastern University's Forward Rate of Return (Yacktman) % compare to EDU and TAL?
According to the Education industry distribution chart, Far Eastern University ranks #64 out of 169 companies for Forward Rate of Return (Yacktman) %. This puts Far Eastern University in the upper half of its industry. The industry median Forward Rate of Return (Yacktman) % is 16.28. Far Eastern University's value of 21.20% is 30.2% above this benchmark. While the company's 10-year median is 15.24 vs. the industry median of 16.28, Far Eastern University 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 Education company?
The median Forward Rate of Return (Yacktman) % among Education companies is 16.28, based on 169 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. Far Eastern University's current Forward Rate of Return (Yacktman) % of 21.20% is 30.2% 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 Far Eastern University and its competitors. For the Education industry, the median Forward Rate of Return (Yacktman) % is 16.28 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Far Eastern University's current Forward Rate of Return (Yacktman) % is 21.20%, which is 39% above median its own 10-year median of 15.24. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Far Eastern University stock overvalued right now?
Based on GuruFocus' analysis, Far Eastern University (PHS:FEU) is currently considered Fairly Valued. The stock's GF Value™ is ₱823.86, compared to a current price of ₱800.50 — trading 2.8% below its estimated fair value. The current Forward Rate of Return (Yacktman) % is 21.20%, which is 39% above median its 10-year median of 15.24 and 30.2% above the Education industry median of 16.28. Far Eastern University's overall GF Score™ is 85/100 with 1 warning sign 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 Far Eastern University (PHS:FEU), the current Forward Rate of Return (Yacktman) % is 21.20% as of Feb. 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 Far Eastern University (PHS:FEU) Overvalued in 2026?

Based on GuruFocus' analysis, Far Eastern University stock appears to be undervalued. The current stock price of ₱800.50 is trading 2.8% below its estimated GF Value™ of ₱823.86. GuruFocus considers Far Eastern University to be Fairly Valued.

Key valuation signals for PHS:FEU:

  • Forward Rate of Return (Yacktman) %: 21.20% (39% above median its 10-year median of 15.24)
  • GF Value™: ₱823.86 vs. price of ₱800.50 (2.8% below fair value)
  • GF Score™: 85/100 with 1 warning sign
  • Industry Position: 30.2% above the Education median (#64 of 169)

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


Far Eastern University Business Description

Address Nicanor Reyes Street, Sampaloc, P.O Box 609, Manila, PHL, 1015
Far Eastern University Inc is a private, non-sectarian institution of learning comprising the following different institutes that offer specific courses, namely, the Institute of Arts and Sciences, the Institute of Accounts, Business and Finance, the Institute of Education, the Institute of Architecture and Fine Arts, the Institute of Nursing, Institute of Tourism and Hotel Management, and Institute of Law. The company's operating segment includes FEU Main, Trimestral Schools, and Other Schools. It generates maximum revenue from the FEU Main segment.
85GF Score

Get the complete analysis for PHS:FEU

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

₱800.50
Price
₱823.86
GF Value