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Arkema (Arkema) Cyclically Adjusted FCF per Share : $6.85 (As of Dec. 2023)


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What is Arkema Cyclically Adjusted FCF per Share?

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted FCF per Share and the Cyclically Adjusted Price-to-FCF. The Cyclically Adjusted FCF per Share is the average of the inflation adjusted Free Cash Flow per Share of a company over the past 10 years.

Arkema's adjusted free cash flow per share for the three months ended in Dec. 2023 was $4.069. Add all the adjusted free cash flow per share for the past 10 years together and divide the count will get our Cyclically Adjusted FCF per Share, which is $6.85 for the trailing ten years ended in Dec. 2023.

During the past 12 months, Arkema's average Cyclically Adjusted FCF Growth Rate was 15.80% per year. During the past 3 years, the average Cyclically Adjusted FCF Growth Rate was 15.80% per year. During the past 5 years, the average Cyclically Adjusted FCF Growth Rate was 13.60% 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 Cyclically Adjusted FCF Growth Rate using Cyclically Adjusted FCF per Share data.

During the past 13 years, the highest 3-Year average Cyclically Adjusted FCF Growth Rate of Arkema was 17.20% per year. The lowest was 8.80% per year. And the median was 9.80% per year.

As of today (2024-04-30), Arkema's current stock price is $104.52. Arkema's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 was $6.85. Arkema's Cyclically Adjusted Price-to-FCF of today is 15.26.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of Arkema was 38.75. The lowest was 13.83. And the median was 26.36.


Arkema Cyclically Adjusted FCF per Share Historical Data

The historical data trend for Arkema's Cyclically Adjusted FCF per Share 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.

Arkema Cyclically Adjusted FCF per Share Chart

Arkema Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted FCF per Share
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.18 4.98 4.73 5.77 6.85

Arkema Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Cyclically Adjusted FCF per Share 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 5.77 6.10 6.62 6.35 6.85

Competitive Comparison of Arkema's Cyclically Adjusted FCF per Share

For the Specialty Chemicals subindustry, Arkema's Cyclically Adjusted Price-to-FCF, along with its competitors' market caps and Cyclically Adjusted Price-to-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.


Arkema's Cyclically Adjusted Price-to-FCF Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Arkema's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

* The bar in red indicates where Arkema's Cyclically Adjusted Price-to-FCF falls into.



Arkema Cyclically Adjusted FCF per Share Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted FCF per Share and the Cyclically Adjusted Price-to-FCF. The Cyclically Adjusted FCF per Share is the average of the inflation adjusted Free Cash Flow per Share of a company over the past 10 years.

What is Cyclically Adjusted FCF per Share? How do we calculate Cyclically Adjusted FCF per Share?

Cyclically Adjusted FCF per Share is the average of the inflation adjusted Free Cash Flow per Share of a company over the past 10 years. Let's use an example to explain.

If we want to calculate the Cyclically Adjusted FCF per Share of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the free cash flow per share from 2001 through 2010.

We adjusted the 2001 free cash flow per share data with the total inflation from 2001 through 2010 to the equivalent free cash flow in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart's free cash flow is $1 a share in 2001, then the 2001's equivalent free cash flow in 2010 is $1.4 a share. If Wal-Mart's free cash flow is $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 free cash flow in 2010 is $1.35. So on and so forth, you get the equivalent free cash flow per share of past 10 years. Then you add them together and divided the sum by the count to get Cyclically Adjusted FCF per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.

For example, Arkema's adjusted Free Cash Flow per Share data for the three months ended in Dec. 2023 was:

Adj_FreeCashFlowPerShare= Free Cash Flow per Share /CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=4.069/118.2300*118.2300
=4.069

Current CPI (Dec. 2023) = 118.2300.

Arkema Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201403 -1.685 100.240 -1.987
201406 -0.021 100.180 -0.025
201409 1.005 99.920 1.189
201412 0.909 99.860 1.076
201503 -0.911 100.170 -1.075
201506 1.367 100.440 1.609
201509 2.124 99.950 2.512
201512 2.876 100.040 3.399
201603 -0.584 100.020 -0.690
201606 1.188 100.630 1.396
201609 2.622 100.340 3.089
201612 1.663 100.650 1.953
201703 -0.493 101.170 -0.576
201706 2.103 101.320 2.454
201709 3.961 101.330 4.622
201712 2.969 101.850 3.446
201803 -0.356 102.750 -0.410
201806 1.089 103.370 1.246
201809 3.471 103.560 3.963
201812 2.391 103.470 2.732
201903 0.974 103.890 1.108
201906 1.312 104.580 1.483
201909 3.059 104.500 3.461
201912 3.143 104.980 3.540
202003 0.159 104.590 0.180
202006 1.983 104.790 2.237
202009 3.434 104.550 3.883
202012 1.602 104.960 1.805
202103 -0.326 105.750 -0.364
202106 2.088 106.340 2.321
202109 0.301 106.810 0.333
202112 0.317 107.850 0.348
202203 -0.608 110.490 -0.651
202206 4.767 112.550 5.008
202209 3.249 112.740 3.407
202212 3.050 114.160 3.159
202303 -0.756 116.790 -0.765
202306 3.552 117.650 3.570
202309 1.539 118.260 1.539
202312 4.069 118.230 4.069

Add all the adjusted free cash flow per share together and divide 10 will get our Cyclically Adjusted FCF per Share.


Arkema  (OTCPK:ARKAY) Cyclically Adjusted FCF per Share Explanation

If a company grows much fast than inflation, Cyclically Adjusted FCF per Share may underestimate the company's free cash flow. Cyclically Adjusted Price-to-FCF can seem to be too high even the actual Price-to-Free-Cash-Flow is low.

For the Cyclically Adjusted Price-to-FCF, the free cash flow per share of the past 10 years are inflation-adjusted and averaged. The result is used for P/FCF calculation. Since it looks at the average over the last 10 years, the Cyclically Adjusted Price-to-FCF is also called CAPFCF Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Price-to-FCF. The Cyclically Adjusted FCF per Share is the average of the inflation adjusted free cash flow per share of a company over the past 10 years.

Arkema's Cyclically Adjusted Price-to-FCF of today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/Cyclically Adjusted FCF per Share
=104.52/6.85
=15.26

* 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.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of Arkema was 38.75. The lowest was 13.83. And the median was 26.36.


Be Aware

Cyclically Adjusted Price-to-FCF works better for cyclical companies. It gives you a better idea on the company's real free cash flow value.


Arkema Cyclically Adjusted FCF per Share Related Terms

Thank you for viewing the detailed overview of Arkema's Cyclically Adjusted FCF per Share provided by GuruFocus.com. Please click on the following links to see related term pages.


Arkema (Arkema) Business Description

Industry
Address
420 rue d’Estienne d’Orves, Colombes, FRA, 92700
Arkema is a French chemical company formerly known for its large presence in the global acrylics market. However, the company has now developed a strong portfolio of speciality materials. Arkema is organised into four segments. Adhesive solutions, advanced materials, and coatings solutions contain the more specialized material businesses. The intermediates segment houses the remaining commodity chemical businesses. Geographically, sales are split fairly equally between Europe, the U.S., and Asia.

Arkema (Arkema) Headlines