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Synchrony Financial (XTER:SFE) Cyclically Adjusted Price-to-FCF : (As of May. 27, 2024)


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What is Synchrony Financial Cyclically Adjusted Price-to-FCF?

Note: If the price history is too short, we do not calculate current Cyclically Adjusted Price-to-FCF for this stock. All the historical data is shown as the company's primary share's data instead.

Shiller PE for Stocks: The True Measure of Stock Valuation


Synchrony Financial Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Synchrony Financial'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.

Synchrony Financial Cyclically Adjusted Price-to-FCF Chart

Synchrony Financial 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 - - - 2.71 2.79

Synchrony Financial 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 2.32 2.63 2.29 2.79 3.04

Competitive Comparison of Synchrony Financial's Cyclically Adjusted Price-to-FCF

For the Credit Services subindustry, Synchrony Financial'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.


Synchrony Financial's Cyclically Adjusted Price-to-FCF Distribution in the Credit Services Industry

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

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



Synchrony Financial 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.

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

For example, Synchrony Financial'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)
=5.083/131.7762*131.7762
=5.083

Current CPI (Mar. 2024) = 131.7762.

Synchrony Financial Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 1.088 100.560 1.426
201409 1.285 100.428 1.686
201412 1.013 99.070 1.347
201503 1.842 99.621 2.437
201506 1.401 100.684 1.834
201509 1.404 100.392 1.843
201512 2.072 99.792 2.736
201603 1.612 100.470 2.114
201606 1.567 101.688 2.031
201609 1.947 101.861 2.519
201612 1.984 101.863 2.567
201703 1.694 102.862 2.170
201706 1.900 103.349 2.423
201709 3.078 104.136 3.895
201712 2.662 104.011 3.373
201803 2.016 105.290 2.523
201806 2.445 106.317 3.030
201809 3.115 106.507 3.854
201812 3.143 105.998 3.907
201903 2.858 107.251 3.512
201906 2.534 108.070 3.090
201909 3.292 108.329 4.005
201912 3.299 108.420 4.010
202003 2.290 108.902 2.771
202006 3.618 108.767 4.383
202009 2.153 109.815 2.584
202012 2.923 109.897 3.505
202103 2.629 111.754 3.100
202106 2.056 114.631 2.364
202109 2.728 115.734 3.106
202112 3.269 117.630 3.662
202203 2.440 121.301 2.651
202206 3.470 125.017 3.658
202209 3.506 125.227 3.689
202212 3.887 125.222 4.090
202303 4.029 127.348 4.169
202306 4.152 128.729 4.250
202309 5.558 129.860 5.640
202312 5.126 129.419 5.219
202403 5.083 131.776 5.083

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.


Synchrony Financial  (XTER:SFE) 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.


Synchrony Financial Cyclically Adjusted Price-to-FCF Related Terms

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Synchrony Financial (XTER:SFE) Business Description

Address
777 Long Ridge Road, Stamford, CT, USA, 06902
Synchrony Financial, originally a spinoff of GE Capital's retail financing business, is the largest provider of private-label credit cards in the United States by both outstanding receivables and purchasing volume. Synchrony partners with other firms to market its credit products in their physical stores as well as on their websites and mobile applications. Synchrony operates through three segments: retail card (private-label and co-branded general-purpose credit cards), payment solutions (promotional financing for large ticket purchases), and CareCredit (financing for elective healthcare procedures).

Synchrony Financial (XTER:SFE) Headlines

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