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Redwood Trust (FRA:R2V) Cyclically Adjusted FCF per Share : €-15.71 (As of Mar. 2024)


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What is Redwood Trust 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.

Redwood Trust's adjusted free cash flow per share for the three months ended in Mar. 2024 was €-6.672. 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 €-15.71 for the trailing ten years ended in Mar. 2024.

During the past 3 years, the average Cyclically Adjusted FCF Growth Rate was -19.00% per year. During the past 5 years, the average Cyclically Adjusted FCF Growth Rate was -17.20% 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 Redwood Trust was 49.40% per year. The lowest was -97.90% per year. And the median was -19.50% per year.

As of today (2024-05-26), Redwood Trust's current stock price is €5.70. Redwood Trust's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was €-15.71. Redwood Trust's Cyclically Adjusted Price-to-FCF of today is .

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of Redwood Trust was 33.05. The lowest was 9.39. And the median was 15.47.


Redwood Trust Cyclically Adjusted FCF per Share Historical Data

The historical data trend for Redwood Trust'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.

Redwood Trust Cyclically Adjusted FCF per Share Chart

Redwood Trust 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 -8.36 -8.07 -13.05 -14.09 -15.60

Redwood Trust Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 -13.18 -12.62 -14.61 -15.60 -15.71

Competitive Comparison of Redwood Trust's Cyclically Adjusted FCF per Share

For the REIT - Mortgage subindustry, Redwood Trust'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.


Redwood Trust's Cyclically Adjusted Price-to-FCF Distribution in the REITs Industry

For the REITs industry and Real Estate sector, Redwood Trust's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Redwood Trust 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, Redwood Trust's adjusted Free Cash Flow per Share data for the three months ended in Mar. 2024 was:

Adj_FreeCashFlowPerShare= Free Cash Flow per Share /CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=-6.672/131.7762*131.7762
=-6.672

Current CPI (Mar. 2024) = 131.7762.

Redwood Trust Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 -3.347 100.560 -4.386
201409 -6.290 100.428 -8.253
201412 -2.492 99.070 -3.315
201503 -1.341 99.621 -1.774
201506 -1.670 100.684 -2.186
201509 -8.075 100.392 -10.599
201512 -2.342 99.792 -3.093
201603 1.171 100.470 1.536
201606 -4.324 101.688 -5.603
201609 -3.615 101.861 -4.677
201612 2.043 101.863 2.643
201703 2.420 102.862 3.100
201706 -4.752 103.349 -6.059
201709 -2.959 104.136 -3.744
201712 -8.350 104.011 -10.579
201803 -1.074 105.290 -1.344
201806 -4.527 106.317 -5.611
201809 -5.146 106.507 -6.367
201812 -1.873 105.998 -2.329
201903 -1.447 107.251 -1.778
201906 -2.383 108.070 -2.906
201909 -4.275 108.329 -5.200
201912 0.209 108.420 0.254
202003 -1.915 108.902 -2.317
202006 1.793 108.767 2.172
202009 -1.385 109.815 -1.662
202012 -2.379 109.897 -2.853
202103 -5.754 111.754 -6.785
202106 -9.871 114.631 -11.347
202109 -6.760 115.734 -7.697
202112 -11.801 117.630 -13.220
202203 -1.885 121.301 -2.048
202206 -1.574 125.017 -1.659
202209 3.144 125.227 3.308
202212 -0.081 125.222 -0.085
202303 0.835 127.348 0.864
202306 -0.633 128.729 -0.648
202309 -7.231 129.860 -7.338
202312 -8.632 129.419 -8.789
202403 -6.672 131.776 -6.672

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


Redwood Trust  (FRA:R2V) 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.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of Redwood Trust was 33.05. The lowest was 9.39. And the median was 15.47.


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.


Redwood Trust Cyclically Adjusted FCF per Share Related Terms

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


Redwood Trust (FRA:R2V) Business Description

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GURUFOCUS.COM » STOCK LIST » Real Estate » REITs » Redwood Trust Inc (FRA:R2V) » Definitions » Cyclically Adjusted FCF per Share
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Address
One Belvedere Place, Suite 300, Mill Valley, CA, USA, 94941
Redwood Trust Inc is a real estate investment trust focused on different areas of housing credit. The company operates in three segments: the Residential Mortgage Banking segment consists of a mortgage loan conduit that acquires residential loans from third-party originators for subsequent sale to whole loan buyers, securitization through SEMT (Sequoia) private-label securitization program, or transfer into its investment portfolio, Business Purpose Mortgage Banking segment consists of a platform that originates and acquires business purpose lending (BPL) loans for subsequent securitization, sale, or transfers into its investment portfolio, and Investment Portfolio segment consists of organic investments sourced through residential and business-purpose mortgage banking operations.

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