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Aggreko (LSE:AGK) Cyclically Adjusted Price-to-FCF : (As of May. 26, 2024)


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What is Aggreko Cyclically Adjusted Price-to-FCF?

Shiller PE for Stocks: The True Measure of Stock Valuation


Aggreko Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Aggreko'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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Aggreko Cyclically Adjusted Price-to-FCF Chart

Aggreko Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
Cyclically Adjusted Price-to-FCF
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Aggreko Semi-Annual Data
Jun11 Dec11 Jun12 Dec12 Jun13 Dec13 Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20
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Competitive Comparison of Aggreko's Cyclically Adjusted Price-to-FCF

For the Rental & Leasing Services subindustry, Aggreko'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.


Aggreko's Cyclically Adjusted Price-to-FCF Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Aggreko's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Aggreko 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.

Aggreko's Cyclically Adjusted FCF per Share for the fiscal year that ended in Dec20 is calculated as:

For example, Aggreko's adjusted Free Cash Flow per Share data for the fiscal year that ended in Dec20 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Dec20 (Change)*Current CPI (Dec20)
=0.826/109.4000*109.4000
=0.826

Current CPI (Dec20) = 109.4000.

Aggreko Annual Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201112 -0.059 95.000 -0.068
201212 -0.265 97.300 -0.298
201312 1.106 99.200 1.220
201412 0.575 99.900 0.630
201512 0.359 100.400 0.391
201612 0.118 102.200 0.126
201712 0.275 105.000 0.287
201812 0.408 107.100 0.417
201912 1.067 108.500 1.076
202012 0.826 109.400 0.826

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.


Aggreko  (LSE:AGK) 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.


Aggreko Cyclically Adjusted Price-to-FCF Related Terms

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Aggreko (LSE:AGK) Business Description

Industry
Traded in Other Exchanges
N/A
Address
120 Bothwell Street, 8th Floor, Glasgow, GBR, G2 7JS
Aggreko PLC is a provider of cooling and heating rental equipment. The company operates two business units: rental solutions and power solutions. Rental solutions offer power, heating, and cooling equipment to customers in developed markets on a rental basis. Power solutions, the slightly larger business unit by revenue, operates in emerging markets and serves industrial and utility customers with large and complex solutions to their power requirements. Aggreko serves customers in utilities, oil and gas, mining, events, petrochemical and refining, manufacturing, and other sectors worldwide. The company generates the lion's share of its revenue in North America, followed by Africa, Asia, and the Middle East.

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