Signify NV (WBO:LGHT) Free Cash Flow: €402 Mil (TTM As of Jun. 2026)

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WBO:LGHT Signify NV WBO:LGHT
58 GF Score
Price €14.93
GF Value €20.03
Valuation Modestly Undervalued
! 5 Warning Signs
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What is Signify NV Free Cash Flow?

Signify NV WBO:LGHT -0.86% 58 Free Cash Flow is €402 Mil as of Jun. 2026. GuruFocus rates WBO:LGHT with a GF Score™ of 58/100 and a GF Value™ of €20.03 (Modestly Undervalued). The stock has 5 warning signs investors should review.

Signify NV's total free cash flow for the months ended in Jun. 2026 was €30 Mil. Its total free cash flow for the trailing twelve months (TTM) ended in Jun. 2026 was €402 Mil.

Signify NV's Free Cash Flow per Share for the months ended in Jun. 2026 was €0.25. Its free cash flow per share for the trailing twelve months (TTM) ended in Jun. 2026 was €3.30.

During the past 12 months, the average Free Cash Flow per Share Growth Rate of Signify NV was 16.10% per year. During the past 3 years, the average Free Cash Flow per Share Growth Rate was 18.70% per year. During the past 5 years, the average Free Cash Flow per Share Growth Rate was -9.20% per year. During the past 10 years, the average Free Cash Flow per Share Growth Rate was 1.50% per year. 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.

During the past 13 years, Signify NV's highest 3-Year average Free Cash Flow per Share Growth Rate was 82.70% per year. The lowest was -21.90% per year. And the median was 9.25% per year.


Signify NV  (WBO:LGHT) 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 Jun26, Signify NV's Forward Rate of Return (Yacktman) % is

Forward Rate of Return (Yacktman) % (Jun26)=Normalized Free Cash Flow/Price+5-Year EBITDA Growth Rate
=3.25619048/16.61+-0.0817
=11.43 %

* 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.


Signify NV Free Cash Flow Related Terms


Signify NV Free Cash Flow Historical Data

* Premium members only.

The historical data trend for Signify NV'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.

Signify NV Free Cash Flow Chart

Signify NV Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Free Cash Flow
Get a 7-Day Free Trial Premium Member Only Premium Member Only 586.00 244.00 578.00 415.00 399.00

Signify NV Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Free Cash Flow 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 34.00 71.00 254.00 47.00 30.00
WBO:LGHT
58GF Score
Signify NV WBO:LGHT
Free Cash Flow is just one metric. See GF Score™, valuation, warning signs, and more.
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Signify NV 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.

Signify NV's Free Cash Flow for the fiscal year that ended in Dec. 2025 is calculated as

Free Cash Flow (A: Dec. 2025 )=Cash Flow from Operations+Capital Expenditure
=531+-132
=399

Signify NV's Free Cash Flow for the quarter that ended in Jun. 2026 is calculated as

Free Cash Flow (Q: Jun. 2026 )=Cash Flow from Operations+Capital Expenditure
=61+-31
=30

Free Cash Flow for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €402 Mil.

* 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 €402 Mil mean?
Signify NV (WBO:LGHT) has a Free Cash Flow of €402 Mil as of Jun. 2026. Free cash flow represents the total amount of cash a company has on hand following operating and capital expenditures. View historial data for Signify NV and its competitors.
Is Signify NV's Free Cash Flow too high?
Signify NV's current Free Cash Flow is €402 Mil. Overall, Signify NV has a GF Score™ of 58/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Signify NV's Free Cash Flow compare to VRT and BE?
Signify NV's Free Cash Flow of €402 Mil can be compared against companies in the Industrial Products 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 an Industrial Products company?
A good Free Cash Flow depends on the Industrial Products 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 Signify NV and its competitors. Signify NV's current Free Cash Flow is €402 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Signify NV stock overvalued right now?
Based on GuruFocus' analysis, Signify NV (WBO:LGHT) is currently considered Modestly Undervalued. The stock's GF Value™ is €20.03, compared to a current price of €14.93 — trading 25.5% below its estimated fair value. The current Free Cash Flow is €402 Mil. Signify NV's overall GF Score™ is 58/100 with 5 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 Signify NV (WBO:LGHT), the current Free Cash Flow is €402 Mil 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 Signify NV (WBO:LGHT) Overvalued in 2026?

Based on GuruFocus' analysis, Signify NV stock appears to be undervalued. The current stock price of €14.93 is trading 25.5% below its estimated GF Value™ of €20.03. GuruFocus considers Signify NV to be Modestly Undervalued.

Key valuation signals for WBO:LGHT:

  • Free Cash Flow: €402 Mil
  • GF Value™: €20.03 vs. price of €14.93 (25.5% below fair value)
  • GF Score™: 58/100 with 5 warning signs

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


Signify NV Business Description

Address High Tech Campus 48, Eindhoven, NLD, 5656 AE
Signify NV is a lighting solutions provider based in the Netherlands. Its product portfolio includes luminaires, lamps, LED lamps, LED tubes, and decorative lighting. The company operates through four segments, The Professional business offers LED lamps, luminaries, connected lighting systems and services to customers in the professional segment; The Consumer business offers LED lamps, luminaries, and connected products, including Philips Hue and WiZ, to customers in the consumer segment; The OEM business offers lighting components to the industry; The Conventional business offers special lighting, digital projection, and lamp electronic. The company operates in the USA, the Netherlands, France, the UK, Germany, Norway, and the rest of Europe and the rest of the world.
58GF Score

Get the complete analysis for WBO:LGHT

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

€14.93
Price
€20.03
GF Value