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Loews (FRA:LTR) Cyclically Adjusted Price-to-FCF : 10.46 (As of May. 19, 2024)


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What is Loews Cyclically Adjusted Price-to-FCF?

As of today (2024-05-19), Loews's current share price is €71.00. Loews's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was €6.79. Loews's Cyclically Adjusted Price-to-FCF for today is 10.46.

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

FRA:LTR' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 8.01   Med: 13.18   Max: 19.95
Current: 10.53

During the past years, Loews's highest Cyclically Adjusted Price-to-FCF was 19.95. The lowest was 8.01. And the median was 13.18.

FRA:LTR's Cyclically Adjusted Price-to-FCF is ranked better than
51.53% of 326 companies
in the Insurance industry
Industry Median: 10.875 vs FRA:LTR: 10.53

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.

Loews's adjusted free cash flow per share data for the three months ended in Mar. 2024 was €0.161. 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 €6.79 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Loews Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Loews'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.

Loews Cyclically Adjusted Price-to-FCF Chart

Loews 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 14.22 10.32 12.27 10.35 9.77

Loews 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 9.72 8.70 8.86 9.77 10.60

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

For the Insurance - Property & Casualty subindustry, Loews'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.


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

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

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



Loews 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=71.00/6.79
=10.46

* 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.

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

For example, Loews'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)
=0.161/131.7762*131.7762
=0.161

Current CPI (Mar. 2024) = 131.7762.

Loews Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 0.714 100.560 0.936
201409 0.572 100.428 0.751
201412 -0.182 99.070 -0.242
201503 -1.018 99.621 -1.347
201506 0.653 100.684 0.855
201509 2.191 100.392 2.876
201512 3.294 99.792 4.350
201603 -0.379 100.470 -0.497
201606 0.050 101.688 0.065
201609 1.729 101.861 2.237
201612 0.764 101.863 0.988
201703 -0.587 102.862 -0.752
201706 2.548 103.349 3.249
201709 0.795 104.136 1.006
201712 1.214 104.011 1.538
201803 0.698 105.290 0.874
201806 3.715 106.317 4.605
201809 2.686 106.507 3.323
201812 1.573 105.998 1.956
201903 -0.405 107.251 -0.498
201906 0.323 108.070 0.394
201909 1.679 108.329 2.042
201912 0.523 108.420 0.636
202003 0.303 108.902 0.367
202006 -0.303 108.767 -0.367
202009 2.148 109.815 2.578
202012 0.986 109.897 1.182
202103 0.147 111.754 0.173
202106 0.987 114.631 1.135
202109 3.267 115.734 3.720
202112 2.776 117.630 3.110
202203 1.104 121.301 1.199
202206 3.200 125.017 3.373
202209 4.703 125.227 4.949
202212 1.582 125.222 1.665
202303 2.239 127.348 2.317
202306 5.239 128.729 5.363
202309 4.615 129.860 4.683
202312 1.041 129.419 1.060
202403 0.161 131.776 0.161

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.


Loews  (FRA:LTR) 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.


Loews Cyclically Adjusted Price-to-FCF Related Terms

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


Loews (FRA:LTR) Business Description

Industry
Traded in Other Exchanges
Address
667 Madison Avenue, New York, NY, USA, 10065-8087
Loews Corp is a holding company that is supported by a variety of businesses. Its largest subsidiary is CNA Financial Corporation, a property and casualty insurance company. CNA's services include risk management, information services, and warranty and claims administration. Loews also maintains an operation of offshore oil and gas drilling rigs through Diamond Offshore Drilling, Inc. The company engages in the transportation and storage of natural gas and natural gas liquids and gathering and processing of natural gas through Boardwalk Pipeline Partners, LP. Loews also operates a chain of hotels.

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