FDH Bank (MSW:FDHB) Free Cash Flow: MWK Mil (TTM As of . 20)

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MSW:FDHB FDH Bank PLC MSW:FDHB
48 GF Score
Price MWK489.89
! 2 Warning Signs
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What is FDH Bank Free Cash Flow?

FDH Bank MSW:FDHB 48 Free Cash Flow is MWK Mil as of . 20. GuruFocus rates MSW:FDHB with a GF Score™ of 48/100. The stock has 2 warning signs investors should review.

FDH Bank's total free cash flow for the six months ended in . 20 was MWK0.00 Mil. FDH Bank does not have enough years/quarters to calculate the total free cash flow for the trailing twelve months (TTM) ended in . 20.

FDH Bank's Free Cash Flow per Share for the six months ended in . 20 was MWK0.00. FDH Bank does not have enough years/quarters to calculate the free cash flow per share for the trailing twelve months (TTM) ended in . 20.

Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Free Cash Flow Growth Rate using Free Cash Flow per Share data.


FDH Bank  (MSW:FDHB) Free Cash Flow Explanation

Free Cash Flow is very close to Warren Buffett's definition of Owner's Earnings, except that in Warren Buffett's Owner's Earnings, the spending for Property, Plant, and Equipment is only for maintenance (replacement), while in the Free Cash Flow calculation, the cost of new Property, Plant, and Equipment due to business expansion is also deducted. There, Free Cash Flow is more conservative than Owner's Earnings.

In Don Yacktman's calculation of forward rate of return, he uses Free Cash Flow for the calculation. 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.

This is what Yacktman said in his March 2012 interview - when the S&P 500 was at 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 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 because research shows that five years is the length of the typical business cycle.

Therefore, as of , FDH Bank's Forward Rate of Return (Yacktman) % is

Forward Rate of Return (Yacktman) % ()=Normalized Free Cash Flow/Price+5-Year EBITDA Growth Rate
=0/+0
=0 %

* 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.


Be Aware

Free Cash Flow within a report period can be affected by management's decisions of capital spending. Therefore, it is important to look at long term when it comes to Free Cash Flow.


FDH Bank Free Cash Flow Related Terms


FDH Bank Free Cash Flow Historical Data

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The historical data trend for FDH Bank's Free Cash Flow 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.

FDH Bank Free Cash Flow Chart

FDH Bank Annual Data
Trend
Free Cash Flow

FDH Bank Semi-Annual Data
Free Cash Flow
MSW:FDHB
48GF Score
FDH Bank PLC MSW:FDHB
Free Cash Flow is just one metric. See GF Score™, valuation, warning signs, and more.
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FDH Bank Free Cash Flow Calculation

Free Cash Flow is considered one of the most important parameters to measure a company's earnings power by value investors because it is not subject to estimates of Depreciation, Depletion and Amortization (DDA). However, when we look at the Free Cash Flow, we should look from a long term perspective, because any year's Free Cash Flow can be drastically affected by the spending on Property, Plant, & Equipment (PPE) of the business in that year. Over the long term, Free Cash Flow should give pretty good picture on the real earnings power of the company.

FDH Bank's Free Cash Flow for the fiscal year that ended in . 20 is calculated as

Free Cash Flow (A: . 20 )=Cash Flow from Operations+Capital Expenditure
=+
=0.00

FDH Bank's Free Cash Flow for the quarter that ended in . 20 is calculated as

Free Cash Flow (Q: . 20 )=Cash Flow from Operations+Capital Expenditure
=+
=0.00

* 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.

Frequently Asked Questions Learn more about Free Cash Flow →
What does a Free Cash Flow of MWK Mil mean?
FDH Bank (MSW:FDHB) has a Free Cash Flow of MWK Mil as of . 20. Free cash flow represents the total amount of cash a company has on hand following operating and capital expenditures. View historial data for FDH Bank and its competitors.
Is FDH Bank's Free Cash Flow too high?
FDH Bank's current Free Cash Flow is MWK Mil. Overall, FDH Bank has a GF Score™ of 48/100, reflecting its overall financial health beyond just this single metric.
How does FDH Bank's Free Cash Flow compare to ?
FDH Bank's Free Cash Flow of MWK Mil can be compared against companies in the Banks industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Free Cash Flow for a Banks company?
A good Free Cash Flow depends on the Banks industry context. However, Free Cash Flow 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 Free Cash Flow mean?
A high Free Cash Flow can signal that a stock is expensive relative to its fundamentals. Free cash flow represents the total amount of cash a company has on hand following operating and capital expenditures. View historial data for FDH Bank and its competitors. FDH Bank's current Free Cash Flow is MWK Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is FDH Bank stock overvalued right now?
FDH Bank (MSW:FDHB) has a current Free Cash Flow of MWK Mil. The current Free Cash Flow is MWK Mil. FDH Bank's overall GF Score™ is 48/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Free Cash Flow calculated?
Free Cash Flow is calculated from a company's financial statements. For FDH Bank (MSW:FDHB), the current Free Cash Flow is MWK Mil as of . 20. 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.

FDH Bank Business Description

Comparable Companies
Address 8 Victoria Avenue North, Umoyo House, P.O. Box 512, Upper Ground Floor, Blantyre, MWI
FDH Bank PLC offers commercial banking services. The bank offers digital banking, loans, asset finance, and other related services. The group has four main operating business segments: Personal and Business Banking, which provides banking products and credit facilities to individuals and SMEs; Corporate and Institutional Banking, which provides lending, transaction banking, and related services to corporate clients and institutions; Treasury and Investment Banking, which includes investment portfolio management, treasury activities, and advisory services; and Global Markets and Trade Finance, which focuses on foreign exchange trading, trade finance, and related financial services. It generates the majority of its revenue from the Treasury and Investment Banking segment.
48GF Score

Get the complete analysis for MSW:FDHB

Free Cash Flow is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

MWK489.89
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