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Insurance Australia Group (FRA:NRM) Cyclically Adjusted Price-to-FCF : (As of Oct. 31, 2024)


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What is Insurance Australia Group Cyclically Adjusted Price-to-FCF?

Shiller PE for Stocks: The True Measure of Stock Valuation


Insurance Australia Group Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Insurance Australia Group'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.

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Insurance Australia Group Cyclically Adjusted Price-to-FCF Chart

Insurance Australia Group Annual Data
Trend Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24
Cyclically Adjusted Price-to-FCF
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Insurance Australia Group Semi-Annual Data
Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24
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Competitive Comparison of Insurance Australia Group's Cyclically Adjusted Price-to-FCF

For the Insurance - Property & Casualty subindustry, Insurance Australia Group'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.


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

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

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



Insurance Australia Group 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.

Insurance Australia Group's Cyclically Adjusted FCF per Share for the fiscal year that ended in Jun24 is calculated as:

For example, Insurance Australia Group's adjusted Free Cash Flow per Share data for the fiscal year that ended in Jun24 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Jun24 (Change)*Current CPI (Jun24)
=0.448/128.9064*128.9064
=0.448

Current CPI (Jun24) = 128.9064.

Insurance Australia Group Annual Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201506 -3.579 99.838 -4.621
201606 -0.533 100.859 -0.681
201706 0.178 102.809 0.223
201806 -0.015 104.945 -0.018
201906 0.144 106.617 0.174
202006 0.093 106.246 0.113
202106 0.426 110.332 0.498
202206 0.230 117.112 0.253
202306 0.108 124.170 0.112
202406 0.448 128.906 0.448

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.


Insurance Australia Group  (FRA:NRM) 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.


Insurance Australia Group Cyclically Adjusted Price-to-FCF Related Terms

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Insurance Australia Group Business Description

Traded in Other Exchanges
Address
Darling Park, 201 Sussex Street, Level 13, Tower Two, Sydney, NSW, AUS, 2000
Insurance Australia Group is the biggest domestic general insurer by gross written premium operating in Australia and New Zealand. The key general insurance markets in which the company operates are home and contents, motor vehicle and compulsory third party, and short-tail commercial. Insurance Australia Group sells insurance under several brands, including NRMA, CGU, SGIO, SGIC, WFI, and Swann in Australia and NZI, State, AMI, and Lumley in New Zealand.

Insurance Australia Group Headlines

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