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Thomson Reuters (STU:TOC) Cyclically Adjusted Price-to-FCF : 60.73 (As of Jun. 10, 2024)


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What is Thomson Reuters Cyclically Adjusted Price-to-FCF?

As of today (2024-06-10), Thomson Reuters's current share price is €158.50. Thomson Reuters's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was €2.61. Thomson Reuters's Cyclically Adjusted Price-to-FCF for today is 60.73.

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

STU:TOC' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 13.88   Med: 25.44   Max: 62.43
Current: 60.99

During the past years, Thomson Reuters's highest Cyclically Adjusted Price-to-FCF was 62.43. The lowest was 13.88. And the median was 25.44.

STU:TOC's Cyclically Adjusted Price-to-FCF is ranked worse than
84.55% of 369 companies
in the Business Services industry
Industry Median: 18.07 vs STU:TOC: 60.99

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.

Thomson Reuters's adjusted free cash flow per share data for the three months ended in Mar. 2024 was €0.583. 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 €2.61 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Thomson Reuters Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Thomson Reuters'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.

Thomson Reuters Cyclically Adjusted Price-to-FCF Chart

Thomson Reuters 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 35.90 38.75 52.15 48.97 52.27

Thomson Reuters 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 53.69 51.55 46.53 52.27 54.70

Competitive Comparison of Thomson Reuters's Cyclically Adjusted Price-to-FCF

For the Specialty Business Services subindustry, Thomson Reuters'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.


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

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

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



Thomson Reuters 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=158.50/2.61
=60.73

* 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.

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

For example, Thomson Reuters'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)
=0.583/126.2576*126.2576
=0.583

Current CPI (Mar. 2024) = 126.2576.

Thomson Reuters Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 0.673 99.473 0.854
201409 0.389 99.394 0.494
201412 0.666 98.367 0.855
201503 -0.061 99.789 -0.077
201506 0.956 100.500 1.201
201509 0.622 100.421 0.782
201512 0.974 99.947 1.230
201603 0.303 101.054 0.379
201606 0.753 102.002 0.932
201609 0.744 101.765 0.923
201612 1.108 101.449 1.379
201703 -0.697 102.634 -0.857
201706 0.999 103.029 1.224
201709 0.867 103.345 1.059
201712 0.850 103.345 1.038
201803 0.313 105.004 0.376
201806 0.926 105.557 1.108
201809 0.938 105.636 1.121
201812 -0.276 105.399 -0.331
201903 -0.306 106.979 -0.361
201906 0.020 107.690 0.023
201909 0.257 107.611 0.302
201912 0.401 107.769 0.470
202003 0.064 107.927 0.075
202006 0.513 108.401 0.598
202009 0.820 108.164 0.957
202012 0.797 108.559 0.927
202103 0.456 110.298 0.522
202106 0.604 111.720 0.683
202109 0.718 112.905 0.803
202112 0.515 113.774 0.572
202203 0.201 117.646 0.216
202206 0.596 120.806 0.623
202209 0.791 120.648 0.828
202212 1.062 120.964 1.108
202303 0.250 122.702 0.257
202306 1.115 124.203 1.133
202309 1.087 125.230 1.096
202312 1.154 125.072 1.165
202403 0.583 126.258 0.583

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.


Thomson Reuters  (STU:TOC) 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.


Thomson Reuters Cyclically Adjusted Price-to-FCF Related Terms

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


Thomson Reuters (STU:TOC) Business Description

Address
333 Bay Street, Suite 300, Toronto, ON, CAN, M5H 2R2
Thomson Reuters is the result of the $17.6 billion megamerger of Canada's Thomson and the United Kingdom's Reuters Group in 2008. In 2021, Thomson Reuters completed the sale of Refinitiv to LSE Group. Thomson Reuters' three largest segments are its legal professionals, Tax and accounting, and corporates segments. Legal professionals is about 42% of the firm's revenue and 47% of the firm's adjusted EBITDA. Tax and accounting makes up about 20%-25% of the firm's revenue and EBITDA. Corporates, which consists of legal professionals and tax and accounting products sold to corporations, also makes up about 20%-25% of the firm's revenue and EBITDA. Thomson Reuters' smaller segments include its Reuters news business and global print business.

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