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News (ASX:NWSLV) Cyclically Adjusted FCF per Share : A$1.53 (As of Dec. 2023)


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What is News 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.

News's adjusted free cash flow per share for the three months ended in Dec. 2023 was A$0.646. 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 A$1.53 for the trailing ten years ended in Dec. 2023.

During the past 12 months, News's average Cyclically Adjusted FCF Growth Rate was 2.90% 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.

As of today (2024-04-29), News's current stock price is A$37.00. News's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 was A$1.53. News's Cyclically Adjusted Price-to-FCF of today is 24.18.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of News was 34.13. The lowest was 14.81. And the median was 21.64.


News Cyclically Adjusted FCF per Share Historical Data

The historical data trend for News'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.

News Cyclically Adjusted FCF per Share Chart

News 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 - - 1.16 1.44 1.62

News 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 1.47 1.45 1.62 1.67 1.53

Competitive Comparison of News's Cyclically Adjusted FCF per Share

For the Entertainment subindustry, News'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.


News's Cyclically Adjusted Price-to-FCF Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, News's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



News 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, News'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)
=0.646/129.4194*129.4194
=0.646

Current CPI (Dec. 2023) = 129.4194.

News Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201403 0.567 99.695 0.736
201406 0.206 100.560 0.265
201409 0.240 100.428 0.309
201412 0.557 99.070 0.728
201503 0.475 99.621 0.617
201506 -0.188 100.684 -0.242
201509 0.190 100.392 0.245
201512 0.351 99.792 0.455
201603 0.269 100.470 0.347
201606 0.647 101.688 0.823
201609 -0.726 101.861 -0.922
201612 0.499 101.863 0.634
201703 0.356 102.862 0.448
201706 0.425 103.349 0.532
201709 -0.142 104.136 -0.176
201712 0.319 104.011 0.397
201803 0.418 105.290 0.514
201806 0.293 106.317 0.357
201809 -0.047 106.507 -0.057
201812 0.271 105.998 0.331
201903 0.360 107.251 0.434
201906 0.273 108.070 0.327
201909 -0.225 108.329 -0.269
201912 0.111 108.420 0.132
202003 0.470 108.902 0.559
202006 0.529 108.767 0.629
202009 0.145 109.815 0.171
202012 0.556 109.897 0.655
202103 1.084 111.754 1.255
202106 0.088 114.631 0.099
202109 -0.081 115.734 -0.091
202112 0.599 117.630 0.659
202203 1.129 121.301 1.205
202206 0.343 125.017 0.355
202209 -0.347 125.227 -0.359
202212 0.203 125.222 0.210
202303 0.975 127.348 0.991
202306 0.706 128.729 0.710
202309 -0.485 129.860 -0.483
202312 0.646 129.419 0.646

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


News  (ASX:NWSLV) 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.

News's Cyclically Adjusted Price-to-FCF of today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/Cyclically Adjusted FCF per Share
=37.00/1.53
=24.18

* 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 News was 34.13. The lowest was 14.81. And the median was 21.64.


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.


News Cyclically Adjusted FCF per Share Related Terms

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


News (ASX:NWSLV) Business Description

Traded in Other Exchanges
Address
1211 Avenue of the Americas, New York, NY, USA, 10036
News Corporation is a diversified media conglomerate with significant presence in the U.S, the U.K., and Australia. Key mastheads include The Wall Street Journal, Herald Sun, and The Times. The company also has a strong presence in the Australian pay-TV market through Fox Sports and Foxtel (both 65%-owned), while its 61%-owned REA Group is the dominant real estate classified business in Australia. In addition, it owns HarperCollins, one of the largest book publishers in the world, and also has a substantial digital property advertising business (Move) in the U.S.

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