GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Beverages - Non-Alcoholic » Reed's Inc (OTCPK:REED) » Definitions » Cyclically Adjusted FCF per Share

Reed's (Reed's) Cyclically Adjusted FCF per Share : $-12.80 (As of Mar. 2024)


View and export this data going back to 2006. Start your Free Trial

What is Reed's 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.

Reed's's adjusted free cash flow per share for the three months ended in Mar. 2024 was $-0.576. 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 $-12.80 for the trailing ten years ended in Mar. 2024.

During the past 3 years, the average Cyclically Adjusted FCF Growth Rate was -5.10% per year. During the past 5 years, the average Cyclically Adjusted FCF Growth Rate was -7.60% per year. During the past 10 years, the average Cyclically Adjusted FCF Growth Rate was 1.40% 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 Reed's was 14.60% per year. The lowest was -9.60% per year. And the median was -0.05% per year.

As of today (2024-05-31), Reed's's current stock price is $1.595. Reed's's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was $-12.80. Reed's's Cyclically Adjusted Price-to-FCF of today is .


Reed's Cyclically Adjusted FCF per Share Historical Data

The historical data trend for Reed's'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.

Reed's Cyclically Adjusted FCF per Share Chart

Reed's Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted FCF per Share
Get a 7-Day Free Trial Premium Member Only Premium Member Only -10.51 -10.78 -11.11 -12.88 -12.51

Reed's Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 -12.54 -12.55 -12.71 -12.51 -12.80

Competitive Comparison of Reed's's Cyclically Adjusted FCF per Share

For the Beverages - Non-Alcoholic subindustry, Reed's'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.


Reed's's Cyclically Adjusted Price-to-FCF Distribution in the Beverages - Non-Alcoholic Industry

For the Beverages - Non-Alcoholic industry and Consumer Defensive sector, Reed's's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Reed's 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, Reed's'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)
=-0.576/131.7762*131.7762
=-0.576

Current CPI (Mar. 2024) = 131.7762.

Reed's Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 2.920 100.560 3.826
201409 1.401 100.428 1.838
201412 -1.897 99.070 -2.523
201503 -2.974 99.621 -3.934
201506 -5.366 100.684 -7.023
201509 -0.685 100.392 -0.899
201512 2.097 99.792 2.769
201603 -3.422 100.470 -4.488
201606 -11.785 101.688 -15.272
201609 6.869 101.861 8.886
201612 -3.061 101.863 -3.960
201703 1.736 102.862 2.224
201706 -13.271 103.349 -16.921
201709 -6.757 104.136 -8.551
201712 3.196 104.011 4.049
201803 -9.272 105.290 -11.604
201806 -11.489 106.317 -14.240
201809 -0.158 106.507 -0.195
201812 2.409 105.998 2.995
201903 -15.134 107.251 -18.595
201906 -4.210 108.070 -5.134
201909 -4.837 108.329 -5.884
201912 -4.098 108.420 -4.981
202003 -2.494 108.902 -3.018
202006 -2.328 108.767 -2.820
202009 -1.415 109.815 -1.698
202012 -1.885 109.897 -2.260
202103 -2.975 111.754 -3.508
202106 -2.893 114.631 -3.326
202109 -2.667 115.734 -3.037
202112 -1.343 117.630 -1.505
202203 -1.133 121.301 -1.231
202206 -6.271 125.017 -6.610
202209 -0.079 125.227 -0.083
202212 0.355 125.222 0.374
202303 0.436 127.348 0.451
202306 -1.071 128.729 -1.096
202309 -0.431 129.860 -0.437
202312 -0.044 129.419 -0.045
202403 -0.576 131.776 -0.576

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


Reed's  (OTCPK:REED) 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.


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.


Reed's Cyclically Adjusted FCF per Share Related Terms

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


Reed's (Reed's) Business Description

Traded in Other Exchanges
N/A
Address
201 Merritt 7, Norwalk, CT, USA, 06851
Reed's Inc sells Ginger Beer brand. The company's portfolio of handcrafted, all-natural beverages is sold in over 45,000 outlets nationwide including the natural and specialty food channel, grocery stores, mass merchants, drug stores, convenience stores, club stores, and on-premise locations including bars and restaurants. The company's two core brands are Reed's, which includes Reed's Craft Ginger Beer, Reed's Real Ginger Ale, Reed's Mules, and Reed's Hard Ginger Ale; and Virgil's Handcrafted sodas.
Executives
John Bello director 201 MERRITT 7 CORPORATE PARK, NORWALK CT 06851
Shufen Deng 10 percent owner ROOMS 3006-07, CHINA RESOURCES BUILDING, 26 HARBOUR ROAD, WANCHAI, HONG KONG K3 000000
D&d Source Of Life Holding Ltd. 10 percent owner ROOMS 3006-07, CHINA RESOURCES BUILDING, 26 HARBOUR ROAD, WANCHAI, HONG KONG K3 000000
Union Square Park Capital Management, Llc director, 10 percent owner, other: See Remarks 1120 AVENUE OF THE AMERICAS, SUITE 1512, NEW YORK NY 10036
Christopher Scott Burleson officer: CCO 6527 LEDERER AVE, WEST HILLS CA 91307
Thomas Wayne Kosler director 39919 N. 102ND ST, SCOTTSDALE AZ 85262
Leon Michael Zaltzman director, 10 percent owner, other: See Remarks 1120 AVENUE OF THE AMERICAS, FLOOR 15, NEW YORK NY 10036
Union Square Park Gp, Llc director, 10 percent owner, other: See Remarks 1120 AVENUE OF THE AMERICAS, 15TH FLOOR, NEW YORK NY 10036
Union Square Park Partners, Lp director, 10 percent owner, other: See Remarks 1251 AVENUE OF THE AMERICAS, 34TH FLOOR, NEW YORK NY 10020
Rhonda Kallman director 42 BROOK STREET, SCITUATE MA 02066
Thomas J. Spisak officer: CFO 201 MERRITT 7, NORWALK CT 06851
Snyder Norman E. Jr. officer: COO 88 GREY ROCKS ROAD, WILTON CT 06897
Richard H. Hubli officer: COO 36 ROCKHOUSE ROAD, WILTON CT 06897
Joann Christine Tinnelly officer: INTERIM CFO 11/22/19 -12/1/19 19 NORTON LANE, OLD GREENWICH CT 06870
Lewis Jaffe director 201 MERRITT 7 CORPORATE PARK, NORWALK CT 06851

Reed's (Reed's) Headlines

From GuruFocus

Reed's Announces $11.25 Million Private Placement of Convertible Notes

By GuruFocusNews GuruFocusNews 06-19-2022

Reed's Inc. Announces Reverse Stock Split

By Stock market mentor Stock market mentor 01-25-2023

Reed's Announces Closing of $5.6 Million Financing Transactions

By sperokesalga sperokesalga 05-31-2023

Reed's Announces $11.25 Million Private Placement of Convertible Notes

By GuruFocusNews GuruFocusNews 06-29-2022

Reed's Debuts Spiked Ginger Ale

By PurpleRose PurpleRose 08-04-2022

Reed's Reports Second Quarter 2023 Results

By Marketwired 08-10-2023