Hey Guys, a pretty simple question, but I am having trouble with it. Trying to find Walmart’s FCFE, but it is not coming out to the value noted on Yahoo (4.45b) Net Income… 12,731,000 Depreciation… 6,317,000 CapEx… (14,937,000) Change NWC… (5,703,000) Net Borrowings… 4,477,000 I add depreciation to NI, subtract Capex, subtract the change in NWC, and add Net borrwings and end up with a fairly high number, 44b to be exact. Can someone please explain what I am doing wrong? Thanks for the advice!

Oh jeez, wrong forum. Can this be moved to LI? Thanks!

What you are doing wrong is you’re summing the absolute values of all of those numbers. Capex and NWC have to be subtracted (do not minus a negative, minus a positive or add a negative - your choice).

Thanks, i-suck. In that case, if I have it correctly the FCFE should be 5,337,000, I think.

Also, if I may add: In terms of finding the Risk free rate, are my only options using the current 3 mo or 6 mo t-bill rate? I wish they were higher at the moment- It would help make my end result a little more reasonable! Thanks