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Washington H Soul Pattinson (ASX:SOL) Intrinsic Value: Projected FCF : A$33.01 (As of Apr. 29, 2024)


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What is Washington H Soul Pattinson Intrinsic Value: Projected FCF?

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company. The details of how we calculate the intrinsic value of stocks are described in detail here.

As of today (2024-04-29), Washington H Soul Pattinson's Intrinsic Value: Projected FCF is A$33.01. The stock price of Washington H Soul Pattinson is A$32.80. Therefore, Washington H Soul Pattinson's Price-to-Intrinsic-Value-Projected-FCF of today is 1.0.

The historical rank and industry rank for Washington H Soul Pattinson's Intrinsic Value: Projected FCF or its related term are showing as below:

ASX:SOL' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 0.66   Med: 1.21   Max: 1.77
Current: 0.99

During the past 13 years, the highest Price-to-Intrinsic-Value-Projected-FCF of Washington H Soul Pattinson was 1.77. The lowest was 0.66. And the median was 1.21.

ASX:SOL's Price-to-Projected-FCF is ranked better than
54.14% of 519 companies
in the Capital Markets industry
Industry Median: 1.07 vs ASX:SOL: 0.99

Washington H Soul Pattinson Intrinsic Value: Projected FCF Historical Data

The historical data trend for Washington H Soul Pattinson's Intrinsic Value: Projected FCF 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.

* Premium members only.

Washington H Soul Pattinson Intrinsic Value: Projected FCF Chart

Washington H Soul Pattinson Annual Data
Trend Jul14 Jul15 Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23
Intrinsic Value: Projected FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 20.27 24.52 26.65 38.77 33.01

Washington H Soul Pattinson Semi-Annual Data
Jul14 Jan15 Jul15 Jan16 Jul16 Jan17 Jul17 Jan18 Jul18 Jan19 Jul19 Jan20 Jul20 Jan21 Jul21 Jan22 Jul22 Jan23 Jul23 Jan24
Intrinsic Value: Projected FCF 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 - 38.77 - 33.01 -

Competitive Comparison of Washington H Soul Pattinson's Intrinsic Value: Projected FCF

For the Capital Markets subindustry, Washington H Soul Pattinson's Price-to-Projected-FCF, along with its competitors' market caps and Price-to-Projected-FCF 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.


Washington H Soul Pattinson's Price-to-Projected-FCF Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Washington H Soul Pattinson's Price-to-Projected-FCF distribution charts can be found below:

* The bar in red indicates where Washington H Soul Pattinson's Price-to-Projected-FCF falls into.



Washington H Soul Pattinson Intrinsic Value: Projected FCF Calculation

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company.

The details of how we calculate the intrinsic value of stocks are described in detail here.

This method smooths out the free cash flow over the past 6-7 years, multiplies the results by a growth multiple, and adds a portion of Total Stockholders Equity.

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + 0.8 * Total Stockholders Equity (most recent) ) / Shares Outstanding (Diluted Average)

In the case of negative Total Stockholders Equity, the following formula is used (see Explanation section below for the reason):

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + Total Stockholders Equity (most recent) / 0.8 ) / Shares Outstanding (Diluted Average)


Add all the Free Cash Flow together and divide 6 will get Washington H Soul Pattinson's Free Cash Flow(6 year avg) = A$376.95.

Washington H Soul Pattinson's Intrinsic Value: Projected FCF for today is calculated as

Intrinsic Value: Projected FCF=(Growth Multiple*Free Cash Flow (6 year avg)+Total Stockholders Equity (Jul23)*0.8)/Shares Outstanding (Diluted Average)
=(9.5203515959648*376.94942857143+8721.872*0.8)/320.085
=33.01

* 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.


Washington H Soul Pattinson  (ASX:SOL) Intrinsic Value: Projected FCF Explanation

The growth multiple is capped between 8.35 and 17.74.

Total Stockholders Equity weighting is more art than science and it should always be revisited in more detail when researching a company. Weightings from 0% to 100% to more than 100% are possible. 80% was chosen as a happy median after taking the above ideas into consideration.

Washington H Soul Pattinson's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=32.80/33.010571235447
=0.99

* 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.


Washington H Soul Pattinson Intrinsic Value: Projected FCF Related Terms

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Washington H Soul Pattinson (ASX:SOL) Business Description

Traded in Other Exchanges
Address
151 Clarence Street, Level 14, Sydney, NSW, AUS, 2000
Washington H. Soul Pattinson, or Soul Patts, is a value-oriented investment house which invests in both public and private markets. As an investor, Soul Patts allocates capital with a view to taking a long-term position in its investments and on a passive basis. Long-term holdings in the group's three largest investments—TPG Telecom, Brickworks and New Hope Corporation—contribute more than half of the group's circa AUD 11 billion investment net asset value. A cross-shareholding between Soul Patts and Brickworks was established in the 1960s.