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Fanhua (Fanhua) Cyclically Adjusted Price-to-FCF : 5.61 (As of May. 03, 2024)


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What is Fanhua Cyclically Adjusted Price-to-FCF?

As of today (2024-05-03), Fanhua's current share price is $3.42. Fanhua's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 was $0.61. Fanhua's Cyclically Adjusted Price-to-FCF for today is 5.61.

The historical rank and industry rank for Fanhua's Cyclically Adjusted Price-to-FCF or its related term are showing as below:

FANH' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 5.08   Med: 11.27   Max: 43.18
Current: 5.36

During the past years, Fanhua's highest Cyclically Adjusted Price-to-FCF was 43.18. The lowest was 5.08. And the median was 11.27.

FANH's Cyclically Adjusted Price-to-FCF is ranked better than
73.93% of 326 companies
in the Insurance industry
Industry Median: 11.06 vs FANH: 5.36

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.

Fanhua's adjusted free cash flow per share data for the three months ended in Dec. 2023 was $0.144. Add all the adjusted free cash flow per share for the past 10 years together and divide 10 will get our Cyclically Adjusted FCF per Share, which is $0.61 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


Fanhua Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Fanhua's Cyclically Adjusted Price-to-FCF 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.

Fanhua Cyclically Adjusted Price-to-FCF Chart

Fanhua Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted Price-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 28.16 13.35 9.66 11.47 10.87

Fanhua Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Cyclically Adjusted Price-to-FCF 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 11.47 13.45 12.85 11.32 10.87

Competitive Comparison of Fanhua's Cyclically Adjusted Price-to-FCF

For the Insurance Brokers subindustry, Fanhua'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.


Fanhua's Cyclically Adjusted Price-to-FCF Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, Fanhua's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Fanhua Cyclically Adjusted Price-to-FCF Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted Price-to-FCF takes the Free Cash Flow per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/FCF calculation. Because it considers this 10-year average, it's often referred to as the CAPFCF Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Price-to-FCF.

Fanhua's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=3.42/0.61
=5.61

* 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.

Fanhua's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 is calculated as:

For example, Fanhua'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)
=0.144/114.6694*114.6694
=0.144

Current CPI (Dec. 2023) = 114.6694.

Fanhua Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201403 0.154 98.600 0.179
201406 0.262 98.200 0.306
201409 0.174 98.900 0.202
201412 0.224 99.000 0.259
201503 -0.013 99.900 -0.015
201506 0.146 99.500 0.168
201509 0.143 100.500 0.163
201512 0.438 100.600 0.499
201603 0.054 102.200 0.061
201606 -0.252 101.400 -0.285
201609 -0.034 102.400 -0.038
201612 0.260 102.600 0.291
201703 0.022 103.200 0.024
201706 0.251 103.100 0.279
201709 -0.062 104.100 -0.068
201712 0.141 104.500 0.155
201803 0.064 105.300 0.070
201806 -0.024 104.900 -0.026
201809 0.685 106.600 0.737
201812 0.527 106.500 0.567
201903 0.124 107.700 0.132
201906 -0.320 107.700 -0.341
201909 0.334 109.800 0.349
201912 0.331 111.200 0.341
202003 0.357 112.300 0.365
202006 0.105 110.400 0.109
202009 0.348 111.700 0.357
202012 0.286 111.500 0.294
202103 0.230 112.662 0.234
202106 -0.116 111.769 -0.119
202109 0.051 112.215 0.052
202112 0.199 113.108 0.202
202203 -0.256 114.335 -0.257
202206 0.139 114.558 0.139
202209 0.052 115.339 0.052
202212 0.413 115.116 0.411
202303 -0.051 115.116 -0.051
202306 0.135 114.558 0.135
202309 0.033 115.339 0.033
202312 0.144 114.669 0.144

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


Fanhua  (NAS:FANH) Cyclically Adjusted Price-to-FCF Explanation

Compared with the regular Price-to-Free-Cash-Flow, which works poorly for cyclical businesses, the Cyclically Adjusted Price-to-FCF smoothed out the fluctuations of free cash flow during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted Price-to-FCF should give similar results to regular Price-to-Free-Cash-Flow.


Fanhua Cyclically Adjusted Price-to-FCF Related Terms

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


Fanhua (Fanhua) Business Description

Industry
Traded in Other Exchanges
Address
No.15 West Zhujiang Road, 60th Floor, Pearl River Tower, Guangdong, Guangzhou, CHN, 510623
Fanhua Inc is an independent insurance intermediary company operating in China. The company sells insurance product offerings from various insurance companies through their online platforms Lan Zhanggui, Baowang, and eHuzhu. The company's segments include the insurance agency segment, which mainly consists of providing agency services for distributing life insurance products and P&C insurance products on behalf of insurance companies; and the claims adjusting segment, which consists of providing pre-underwriting survey services, claim adjusting services, disposal of residual value services, loading and unloading supervision services, and consulting services. The insurance agency segment contributes to the majority of the revenue. The company generates all of its revenues from China.

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