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Thomson Reuters Corp
LSE:0Q89

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Thomson Reuters Corp
LSE:0Q89
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Price: 129.73 CAD 5.35% Market Closed
Market Cap: CA$1.2B

EV/FCFF

21.1
Current
46%
Cheaper
vs 3-y average of 38.9

Enterprise Value to Free Cash Flow to Firm (EV/FCFF) ratio compares a company`s total enterprise value to the free cash flow available to all investors, both debt and equity holders. It shows how much investors are paying for each dollar of cash flow the business generates before interest payments.

EV/FCFF
21.1
=
Enterprise Value
CA$57.6B
/
Free Cash Flow to Firm
$2B

Enterprise Value to Free Cash Flow to Firm (EV/FCFF) ratio compares a company`s total enterprise value to the free cash flow available to all investors, both debt and equity holders. It shows how much investors are paying for each dollar of cash flow the business generates before interest payments.

EV/FCFF
21.1
=
Enterprise Value
CA$57.6B
/
Free Cash Flow to Firm
$2B

Valuation Scenarios

Thomson Reuters Corp is trading below its 3-year average

If EV/FCFF returns to its 3-Year Average (38.9), the stock would be worth CA$239.23 (84% upside from current price).

Statistics
Positive Scenarios
3/4
Maximum Downside
-3%
Maximum Upside
+85%
Average Upside
43%
Scenario EV/FCFF Value Implied Price Upside/Downside
Current Multiple 21.1 CA$129.73
0%
3-Year Average 38.9 CA$239.23
+84%
5-Year Average 39 CA$239.99
+85%
Industry Average 22.3 CA$137.03
+6%
Country Average 20.4 CA$125.74
-3%

Forward EV/FCFF
Today’s price vs future free cash flow to firm

Not enough data available to calculate forward EV/FCFF

Peer Comparison

All Multiples
EV/FCFF
P/E
All Countries
Close

Market Distribution

Lower than 99% of companies in Canada
Percentile
1st
Based on 1 610 companies
1st percentile
1
Low
0 — 13.1
Typical Range
13.1 — 33.5
High
33.5 —
Distribution Statistics
Canada
Min 0
30th Percentile 13.1
Median 20.4
70th Percentile 33.5
Max 22 577.3

Thomson Reuters Corp
Glance View

Thomson Reuters Corp. stands as a giant in the landscape of information services, leveraging its rich history and merger with Reuters Group in 2008 to create a robust platform that caters to professionals across multiple industries. The company, with its headquarters in Toronto, has carved out a niche by providing essential news, data, and analytics that fuel decision-making for businesses, governments, and professionals in sectors ranging from law and tax to finance and accounting. Central to its operations are its platforms like Westlaw and Checkpoint, which deliver critical legal and tax research tools, underscoring the company's commitment to addressing the nuanced needs of its clients. Additionally, its news services, driven by the storied Reuters brand, offer comprehensive, reliable news coverage that is indispensable to media outlets worldwide. Driving its profitability, Thomson Reuters has adeptly transformed its offerings into lucrative products and subscription models. It generates revenue primarily through subscription fees and the sale of digital content, with a significant portion derived from its legal and tax & accounting divisions. The company's ability to integrate advanced technology, such as AI and machine learning, into its platforms ensures that it remains at the forefront of innovation, providing value-added services that enhance client productivity and regulatory compliance. This focus on digital transformation not only fortifies its competitive edge but also positions Thomson Reuters to capitalize on emerging market trends, ensuring sustained growth in an increasingly data-driven world.

0Q89 Intrinsic Value
128.54 CAD
Overvaluation 1%
Intrinsic Value
Price CA$129.73
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