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Lithia Motors (STU:LMO) Cyclically Adjusted FCF per Share : €6.67 (As of Mar. 2024)


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What is Lithia Motors 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.

Lithia Motors's adjusted free cash flow per share for the three months ended in Mar. 2024 was €7.093. 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 €6.67 for the trailing ten years ended in Mar. 2024.

During the past 12 months, Lithia Motors's average Cyclically Adjusted FCF Growth Rate was -9.40% per year. During the past 3 years, the average Cyclically Adjusted FCF Growth Rate was 19.40% 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 Lithia Motors was 73.50% per year. The lowest was -128.90% per year. And the median was -2.50% per year.

As of today (2024-05-26), Lithia Motors's current stock price is €234.00. Lithia Motors's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was €6.67. Lithia Motors's Cyclically Adjusted Price-to-FCF of today is 35.08.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of Lithia Motors was 2385.60. The lowest was 21.46. And the median was 44.29.


Lithia Motors Cyclically Adjusted FCF per Share Historical Data

The historical data trend for Lithia Motors'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.

Lithia Motors Cyclically Adjusted FCF per Share Chart

Lithia Motors 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 1.43 2.82 8.26 7.66 5.49

Lithia Motors 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 7.28 6.47 6.65 5.49 6.67

Competitive Comparison of Lithia Motors's Cyclically Adjusted FCF per Share

For the Auto & Truck Dealerships subindustry, Lithia Motors'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.


Lithia Motors's Cyclically Adjusted Price-to-FCF Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Lithia Motors's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Lithia Motors 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, Lithia Motors'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)
=7.093/131.7762*131.7762
=7.093

Current CPI (Mar. 2024) = 131.7762.

Lithia Motors Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 -0.123 100.560 -0.161
201409 2.148 100.428 2.818
201412 -2.709 99.070 -3.603
201503 0.464 99.621 0.614
201506 -1.076 100.684 -1.408
201509 2.135 100.392 2.802
201512 -1.681 99.792 -2.220
201603 0.799 100.470 1.048
201606 0.153 101.688 0.198
201609 3.008 101.861 3.891
201612 -4.618 101.863 -5.974
201703 4.097 102.862 5.249
201706 1.264 103.349 1.612
201709 1.408 104.136 1.782
201712 -4.871 104.011 -6.171
201803 0.222 105.290 0.278
201806 5.397 106.317 6.689
201809 3.594 106.507 4.447
201812 3.572 105.998 4.441
201903 1.835 107.251 2.255
201906 5.216 108.070 6.360
201909 6.791 108.329 8.261
201912 1.443 108.420 1.754
202003 3.085 108.902 3.733
202006 24.385 108.767 29.543
202009 -1.349 109.815 -1.619
202012 -9.146 109.897 -10.967
202103 14.036 111.754 16.551
202106 20.706 114.631 23.803
202109 18.109 115.734 20.619
202112 -7.942 117.630 -8.897
202203 -1.055 121.301 -1.146
202206 -12.083 125.017 -12.736
202209 -11.988 125.227 -12.615
202212 -6.405 125.222 -6.740
202303 -2.985 127.348 -3.089
202306 -10.297 128.729 -10.541
202309 1.864 129.860 1.892
202312 -12.017 129.419 -12.236
202403 7.093 131.776 7.093

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


Lithia Motors  (STU:LMO) 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/Cyclically Adjusted FCF per Share
=234.00/6.67
=35.08

* 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 Lithia Motors was 2385.60. The lowest was 21.46. And the median was 44.29.


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.


Lithia Motors Cyclically Adjusted FCF per Share Related Terms

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


Lithia Motors (STU:LMO) Business Description

Traded in Other Exchanges
Address
150 N. Bartlett Street, Medford, OR, USA, 97501
Lithia Motors is a retailer of new and used vehicles and related services. The company offers over 45 brands of vehicles at about 350 stores globally including 28 U.S. states at year-end 2022 and entered Canada in mid-2021 with the purchase of Pfaff Automotive and bought Jardine and soon Pendragon in the U.K. in 2023. The company has expanded largely through the acquisition of dealerships in smaller regional markets but now seeks to grow in any part of the U.S. and we expect more deals over time in the U.S. and abroad. Annual revenue in 2022 was $28.2 billion and we see over $50 billion possible in 2025. In 2022, new-car sales were about 46% of total revenue. Lithia was founded in 1946, went public in 1996, and is now the largest U.S. auto dealer. It is based in Medford, Oregon.

Lithia Motors (STU:LMO) Headlines

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