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GSK (FRA:GS71) Cyclically Adjusted Price-to-FCF : 13.00 (As of May. 24, 2024)


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What is GSK Cyclically Adjusted Price-to-FCF?

As of today (2024-05-24), GSK's current share price is €20.80. GSK's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was €1.60. GSK's Cyclically Adjusted Price-to-FCF for today is 13.00.

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

FRA:GS71' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 9.39   Med: 13.04   Max: 18.76
Current: 12.89

During the past years, GSK's highest Cyclically Adjusted Price-to-FCF was 18.76. The lowest was 9.39. And the median was 13.04.

FRA:GS71's Cyclically Adjusted Price-to-FCF is ranked better than
84.62% of 312 companies
in the Drug Manufacturers industry
Industry Median: 33.315 vs FRA:GS71: 12.89

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.

GSK's adjusted free cash flow per share data for the three months ended in Mar. 2024 was €0.112. 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 €1.60 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


GSK Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for GSK'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.

GSK Cyclically Adjusted Price-to-FCF Chart

GSK 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 15.02 11.16 12.90 10.25 10.53

GSK Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 10.38 10.09 10.88 10.53 12.39

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

For the Drug Manufacturers - General subindustry, GSK'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.


GSK's Cyclically Adjusted Price-to-FCF Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, GSK's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



GSK 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=20.80/1.6
=13.00

* 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.

GSK's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, GSK'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)
=0.112/131.6000*131.6000
=0.112

Current CPI (Mar. 2024) = 131.6000.

GSK Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 0.119 99.800 0.157
201409 0.276 100.000 0.363
201412 0.536 99.900 0.706
201503 0.002 99.600 0.003
201506 -0.070 100.100 -0.092
201509 0.013 100.200 0.017
201512 0.287 100.400 0.376
201603 -0.038 100.400 -0.050
201606 0.247 101.000 0.322
201609 0.380 101.500 0.493
201612 0.666 102.200 0.858
201703 0.214 102.700 0.274
201706 0.115 103.500 0.146
201709 0.397 104.300 0.501
201712 0.624 105.000 0.782
201803 0.145 105.100 0.182
201806 0.283 105.900 0.352
201809 0.464 106.600 0.573
201812 0.972 107.100 1.194
201903 0.105 107.000 0.129
201906 0.212 107.900 0.259
201909 0.577 108.400 0.700
201912 0.783 108.500 0.950
202003 0.174 108.600 0.211
202006 0.652 108.800 0.789
202009 0.058 109.200 0.070
202012 0.904 109.400 1.087
202103 -0.007 109.700 -0.008
202106 0.213 111.400 0.252
202109 0.393 112.400 0.460
202112 0.933 114.700 1.070
202203 0.580 116.500 0.655
202206 0.270 120.500 0.295
202209 0.235 122.300 0.253
202212 0.324 125.300 0.340
202303 -0.132 126.800 -0.137
202306 0.176 129.400 0.179
202309 0.484 130.100 0.490
202312 0.680 130.500 0.686
202403 0.112 131.600 0.112

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.


GSK  (FRA:GS71) 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.


GSK Cyclically Adjusted Price-to-FCF Related Terms

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


GSK (FRA:GS71) Business Description

Industry
Address
980 Great West Road, Brentford, Middlesex, GBR, TW8 9GS
In the pharmaceutical industry, GSK ranks as one of the largest companies by total sales. The company wields its might across several therapeutic classes, including respiratory, cancer, and antiviral, as well as vaccines. GSK uses joint ventures to gain additional scale in certain markets like HIV.

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