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KEYS (Keysight Technologies) Intrinsic Value: Projected FCF : $78.65 (As of Oct. 31, 2024)


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What is Keysight Technologies 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 (2024-10-31), Keysight Technologies's Intrinsic Value: Projected FCF is $78.65. The stock price of Keysight Technologies is $149.01. Therefore, Keysight Technologies's Price-to-Intrinsic-Value-Projected-FCF of today is 1.9.

The historical rank and industry rank for Keysight Technologies's Intrinsic Value: Projected FCF or its related term are showing as below:

KEYS' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 1.62   Med: 2.57   Max: 3.38
Current: 1.89

During the past 13 years, the highest Price-to-Intrinsic-Value-Projected-FCF of Keysight Technologies was 3.38. The lowest was 1.62. And the median was 2.57.

KEYS's Price-to-Projected-FCF is ranked worse than
60.87% of 1638 companies
in the Hardware industry
Industry Median: 1.42 vs KEYS: 1.89

Keysight Technologies Intrinsic Value: Projected FCF Historical Data

The historical data trend for Keysight Technologies'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.

Keysight Technologies Intrinsic Value: Projected FCF Chart

Keysight Technologies Annual Data
Trend Oct14 Oct15 Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23
Intrinsic Value: Projected FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 35.12 42.09 53.19 65.21 75.48

Keysight Technologies Quarterly Data
Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24
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 75.09 75.48 78.68 76.91 78.65

Competitive Comparison of Keysight Technologies's Intrinsic Value: Projected FCF

For the Scientific & Technical Instruments subindustry, Keysight Technologies'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.


Keysight Technologies's Price-to-Projected-FCF Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Keysight Technologies's Price-to-Projected-FCF distribution charts can be found below:

* The bar in red indicates where Keysight Technologies's Price-to-Projected-FCF falls into.



Keysight Technologies 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 Keysight Technologies's Free Cash Flow(6 year avg) = $939.52.

Keysight Technologies'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 (Jul24)*0.8)/Shares Outstanding (Diluted Average)
=(10.195616806174*939.52+5230*0.8)/175.000
=78.65

* 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.


Keysight Technologies  (NYSE:KEYS) 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.

Keysight Technologies's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=149.01/78.645633724211
=1.89

* 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.


Keysight Technologies Intrinsic Value: Projected FCF Related Terms

Thank you for viewing the detailed overview of Keysight Technologies's Intrinsic Value: Projected FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


Keysight Technologies Business Description

Address
1400 Fountaingrove Parkway, Santa Rosa, CA, USA, 95403-1738
Keysight Technologies is a leader in the field of testing and measurement, helping electronics OEMs and suppliers alike bring products to market to fit industry standards and specifications. Keysight specializes in the communications market, but also supplies into the government, automotive, industrial, and semiconductor manufacturing markets. Keysight's solutions include testing tools, analytical software, and services. The firm's stated objective is to reduce time to market and improve efficiency at its more than 30,000 customers.
Executives
Richard P Hamada director 2211 S 47TH ST, PHOENIX AZ 85034
Lisa M. Poole officer: VP and Controller 1400 FOUNTAINGROVE PARKWAY, SANTA ROSA CA 95403
Kevin A Stephens director 1220 AUGUSTA DRIVE, SUITE 600, HOUSTON TX 77057
Kailash Narayanan officer: SVP 1400 FOUNTAINGROVE PARKWAY, SANTA ROSA CA 95403
Ronald S. Nersesian director, officer: CEO 5301 STEVENS CREEK BLVD., MS 1A-LC, SANTA CLARA CA 95051
Neil Dougherty officer: SVP & CFO 1400 FOUNTAINGROVE PARKWAY, SANTA ROSA CA 95403
Huei Sin Ee officer: SVP 1400 FOUNTAINGROVE PARKWAY, SANTA ROSA CA 95403
Jeffrey K Li officer: SVP and Secretary 1400 FOUNTAINGROVE PKWY, SANTA ROSA CA 95403
John Page officer: SVP 1400 FOUNTAINGROVE PARKWAY, SANTA ROSA CA 95403
Soon Chai Gooi officer: SVP 5301 STEVENS CREEK BLVD., SANTA CLARA CA 95051
James Cullen director 5301 STEVENS CREEK BLVD, MS 1A-LC, SANTA CLARA CA 95051
Satish Dhanasekaran officer: SVP 1400 FOUNTAINGROVE PARKWAY, SANTA ROSA CA 95403
Charles J Dockendorff director COVIDIEN LTD., 15 HAMPSHIRE STREET, MANSFIELD MA 02048
Ingrid A Estrada officer: SVP 1400 FOUNTAINGROVE PARKWAY, SANTA ROSA CA 95403
John C. Skinner officer: VP & Controller 1400 FOUNTAINGROVE PARKWAY, SANTA ROSA CA 95403