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The Estee Lauder (The Estee Lauder) Cyclically Adjusted FCF per Share : $4.50 (As of Dec. 2023)


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What is The Estee Lauder Cyclically Adjusted FCF per Share?

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted FCF per Share and 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.

The Estee Lauder's adjusted free cash flow per share for the three months ended in Dec. 2023 was $3.092. Add all the adjusted free cash flow per share for the past 10 years together and divide the count will get our Cyclically Adjusted FCF per Share, which is $4.50 for the trailing ten years ended in Dec. 2023.

During the past 12 months, The Estee Lauder's average Cyclically Adjusted FCF Growth Rate was -10.70% per year. During the past 3 years, the average Cyclically Adjusted FCF Growth Rate was 8.80% per year. During the past 5 years, the average Cyclically Adjusted FCF Growth Rate was 11.70% per year. During the past 10 years, the average Cyclically Adjusted FCF Growth Rate was 14.40% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Cyclically Adjusted FCF Growth Rate using Cyclically Adjusted FCF per Share data.

During the past 13 years, the highest 3-Year average Cyclically Adjusted FCF Growth Rate of The Estee Lauder was 22.10% per year. The lowest was 8.80% per year. And the median was 15.10% per year.

As of today (2024-04-27), The Estee Lauder's current stock price is $147.45. The Estee Lauder's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 was $4.50. The Estee Lauder's Cyclically Adjusted Price-to-FCF of today is 32.77.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of The Estee Lauder was 84.14. The lowest was 25.16. And the median was 49.44.


The Estee Lauder Cyclically Adjusted FCF per Share Historical Data

The historical data trend for The Estee Lauder's Cyclically Adjusted FCF per Share 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.

The Estee Lauder Cyclically Adjusted FCF per Share Chart

The Estee Lauder Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Cyclically Adjusted FCF per Share
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.26 3.53 4.35 5.08 4.55

The Estee Lauder Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Cyclically Adjusted FCF per Share 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 5.04 5.07 4.55 4.41 4.50

Competitive Comparison of The Estee Lauder's Cyclically Adjusted FCF per Share

For the Household & Personal Products subindustry, The Estee Lauder'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.


The Estee Lauder's Cyclically Adjusted Price-to-FCF Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, The Estee Lauder's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



The Estee Lauder Cyclically Adjusted FCF per Share Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted FCF per Share and 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.

What is Cyclically Adjusted FCF per Share? How do we calculate Cyclically Adjusted FCF per Share?

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. Let's use an example to explain.

If we want to calculate the Cyclically Adjusted FCF per Share of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the free cash flow per share from 2001 through 2010.

We adjusted the 2001 free cash flow per share data with the total inflation from 2001 through 2010 to the equivalent free cash flow in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart's free cash flow is $1 a share in 2001, then the 2001's equivalent free cash flow in 2010 is $1.4 a share. If Wal-Mart's free cash flow is $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 free cash flow in 2010 is $1.35. So on and so forth, you get the equivalent free cash flow per share of past 10 years. Then you add them together and divided the sum by the count to get 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.

For example, The Estee Lauder's adjusted Free Cash Flow per Share data for the three months ended in Dec. 2023 was:

Adj_FreeCashFlowPerShare= Free Cash Flow per Share /CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=3.092/129.4194*129.4194
=3.092

Current CPI (Dec. 2023) = 129.4194.

The Estee Lauder Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201403 0.666 99.695 0.865
201406 0.509 100.560 0.655
201409 0.126 100.428 0.162
201412 1.961 99.070 2.562
201503 0.777 99.621 1.009
201506 0.950 100.684 1.221
201509 -0.216 100.392 -0.278
201512 2.184 99.792 2.832
201603 0.647 100.470 0.833
201606 0.751 101.688 0.956
201609 -0.630 101.861 -0.800
201612 2.284 101.863 2.902
201703 0.860 102.862 1.082
201706 0.936 103.349 1.172
201709 -0.091 104.136 -0.113
201712 3.217 104.011 4.003
201803 1.001 105.290 1.230
201806 1.014 106.317 1.234
201809 -0.660 106.507 -0.802
201812 3.320 105.998 4.054
201903 0.907 107.251 1.094
201906 1.242 108.070 1.487
201909 -0.800 108.329 -0.956
201912 3.433 108.420 4.098
202003 1.424 108.902 1.692
202006 0.491 108.767 0.584
202009 0.659 109.815 0.777
202012 4.038 109.897 4.755
202103 1.797 111.754 2.081
202106 1.636 114.631 1.847
202109 -0.777 115.734 -0.869
202112 4.571 117.630 5.029
202203 -0.209 121.301 -0.223
202206 1.902 125.017 1.969
202209 -2.219 125.227 -2.293
202212 3.147 125.222 3.252
202303 0.069 127.348 0.070
202306 -5.306 128.729 -5.334
202309 -1.950 129.860 -1.943
202312 3.092 129.419 3.092

Add all the adjusted free cash flow per share together and divide 10 will get our Cyclically Adjusted FCF per Share.


The Estee Lauder  (NYSE:EL) Cyclically Adjusted FCF per Share Explanation

If a company grows much fast than inflation, Cyclically Adjusted FCF per Share may underestimate the company's free cash flow. Cyclically Adjusted Price-to-FCF can seem to be too high even the actual Price-to-Free-Cash-Flow is low.

For the Cyclically Adjusted Price-to-FCF, the free cash flow per share of the past 10 years are inflation-adjusted and averaged. The result is used for P/FCF calculation. Since it looks at the average over the last 10 years, the Cyclically Adjusted Price-to-FCF is also called CAPFCF Ratio.

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.

The Estee Lauder's Cyclically Adjusted Price-to-FCF of today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/Cyclically Adjusted FCF per Share
=147.45/4.5
=32.77

* 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.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of The Estee Lauder was 84.14. The lowest was 25.16. And the median was 49.44.


Be Aware

Cyclically Adjusted Price-to-FCF works better for cyclical companies. It gives you a better idea on the company's real free cash flow value.


The Estee Lauder Cyclically Adjusted FCF per Share Related Terms

Thank you for viewing the detailed overview of The Estee Lauder's Cyclically Adjusted FCF per Share provided by GuruFocus.com. Please click on the following links to see related term pages.


The Estee Lauder (The Estee Lauder) Business Description

Address
767 Fifth Avenue, New York, NY, USA, 10153
Estee Lauder is a leader in the global prestige beauty market, participating across skin care (56% of 2022 sales), makeup (26%), fragrance (14%), and hair care (4%) categories, with top-selling brands such as Estee Lauder, Clinique, M.A.C, La Mer, Jo Malone London, Aveda, Bobbi Brown, and Origins. The firm operates in more than 150 countries, generating 26% of revenue from the Americas, 43% from Europe, the Middle East and Africa (including travel retail), and 31% from Asia Pacific. Estee Lauder sells its products through department stores, travel retail, specialty multibrand beauty stores, brand-dedicated freestanding stores, e-commerce, salons/spas, and perfumeries.
Executives
Charlene Barshefsky director
Jane Lauder director 767 FIFTH AVENUE, NEW YORK NY 10153
Hudis Jane Hertzmark officer: Group President C/O THE ESTEE LAUDER COMPANIES INC., 767 FIFTH AVENUE, NEW YORK NY 10153
Carl P. Haney officer: EVP-Global R&D C/O ESTEE LAUDER COMPANIES INC., 767 FIFTH AVENUE, NEW YORK NY 10153
Jennifer Hyman director 767 FIFTH AVENUE, C/O THE ESTEE LAUDER COMPANIES INC., NEW YORK NY 10153
Fabrizio Freda officer: President and COO 767 FIFTH AVENUE, NEW YORK NY 10153
De La Faverie Stephane officer: Executive Group President C/O THE ESTEE LAUDER COMPANIES INC., NEW YORK NY 10153
Michael O'hare officer: EVP-Global Human Resources 767 FIFTH AVENUE, NEW YORK NY 10153
Wei Sun Christianson director MORGAN STANLEY, TOWER 1, 18 TAIPINGQIAO ST. XICHENG DIST, BEIJING F4 1000032
Barry S Sternlicht director STARWOOD CAPITAL GROUP GLOBAL LP, 1601 WASHINGTON AVENUE, SUITE 800, MIAMI BEACH FL 33139
Angela Wei Dong director C/O THE ESTEE LAUDER COMPANIES INC., 767 FIFTH AVENUE, NEW YORK NY 10153
Peter Jueptner officer: President, International
Arturo Nunez director C/O THE ESTEE LAUDER COMPANIES INC., 767 FIFTH AVENUE, NEW YORK NY 10153
Ronald S Lauder director, 10 percent owner, officer: Chairman Clinique Labs, Inc. 767 FIFTH AVENUE, NEW YORK NY 10153
John Demsey officer: Group President 767 FIFTH AVENUE, NEW YORK NY 10036