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Rentokil Initial (Rentokil Initial) Cyclically Adjusted Price-to-FCF : 28.33 (As of May. 21, 2024)


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What is Rentokil Initial Cyclically Adjusted Price-to-FCF?

As of today (2024-05-21), Rentokil Initial's current share price is $5.3819. Rentokil Initial's Cyclically Adjusted FCF per Share for the fiscal year that ended in Dec23 was $0.19. Rentokil Initial's Cyclically Adjusted Price-to-FCF for today is 28.33.

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

RKLIF' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 8.86   Med: 41.91   Max: 70.69
Current: 25.84

During the past 13 years, Rentokil Initial's highest Cyclically Adjusted Price-to-FCF was 70.69. The lowest was 8.86. And the median was 41.91.

RKLIF's Cyclically Adjusted Price-to-FCF is ranked worse than
67.13% of 362 companies
in the Business Services industry
Industry Median: 18.255 vs RKLIF: 25.84

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.

Rentokil Initial's adjusted free cash flow per share data of for the fiscal year that ended in Dec23 was $0.263. 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 $0.19 for the trailing ten years ended in Dec23.

Shiller PE for Stocks: The True Measure of Stock Valuation


Rentokil Initial Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Rentokil Initial'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.

Rentokil Initial Cyclically Adjusted Price-to-FCF Chart

Rentokil Initial 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 58.94 56.56 52.27 36.76 27.00

Rentokil Initial Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 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 52.27 - 36.76 - 27.00

Competitive Comparison of Rentokil Initial's Cyclically Adjusted Price-to-FCF

For the Specialty Business Services subindustry, Rentokil Initial'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.


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

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

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



Rentokil Initial 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=5.3819/0.19
=28.33

* 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.

Rentokil Initial's Cyclically Adjusted FCF per Share for the fiscal year that ended in Dec23 is calculated as:

For example, Rentokil Initial's adjusted Free Cash Flow per Share data for the fiscal year that ended in Dec23 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Dec23 (Change)*Current CPI (Dec23)
=0.263/130.5000*130.5000
=0.263

Current CPI (Dec23) = 130.5000.

Rentokil Initial Annual Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201412 0.071 99.900 0.093
201512 0.121 100.400 0.157
201612 0.104 102.200 0.133
201712 0.135 105.000 0.168
201812 0.132 107.100 0.161
201912 0.206 108.500 0.248
202012 0.285 109.400 0.340
202112 0.287 114.700 0.327
202212 0.248 125.300 0.258
202312 0.263 130.500 0.263

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.


Rentokil Initial  (OTCPK:RKLIF) 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.


Rentokil Initial Cyclically Adjusted Price-to-FCF Related Terms

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


Rentokil Initial (Rentokil Initial) Business Description

Traded in Other Exchanges
Address
Manor Royal, Compass House, Crawley, West Sussex, GBR, RH10 9PY
Rentokil Initial is a leading global provider of route-based pest-control and commercial hygiene services, operating in 83 countries. The group also offers a range of specialist route-based services including office and commercial space plant care, property care, and workwear rentals. The group has a diverse client base that includes global food producers, hotel chains, industrial goods businesses, restaurants, and individual residential customers.

Rentokil Initial (Rentokil Initial) Headlines