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Arcos Dorados Holdings (BUE:ARCO) Cyclically Adjusted FCF per Share : ARS386.81 (As of Mar. 2024)


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What is Arcos Dorados Holdings 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.

Arcos Dorados Holdings's adjusted free cash flow per share for the three months ended in Mar. 2024 was ARS-282.366. 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 ARS386.81 for the trailing ten years ended in Mar. 2024.

During the past 12 months, Arcos Dorados Holdings's average Cyclically Adjusted FCF Growth Rate was 28.60% 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 (2024-05-23), Arcos Dorados Holdings's current stock price is ARS25730.00. Arcos Dorados Holdings's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was ARS386.81. Arcos Dorados Holdings's Cyclically Adjusted Price-to-FCF of today is 66.52.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of Arcos Dorados Holdings was 807.54. The lowest was 50.86. And the median was 79.85.


Arcos Dorados Holdings Cyclically Adjusted FCF per Share Historical Data

The historical data trend for Arcos Dorados Holdings'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.

Arcos Dorados Holdings Cyclically Adjusted FCF per Share Chart

Arcos Dorados Holdings 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 - -23.31 8.01 81.10 330.56

Arcos Dorados Holdings 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 113.64 153.48 - 330.56 386.81

Competitive Comparison of Arcos Dorados Holdings's Cyclically Adjusted FCF per Share

For the Restaurants subindustry, Arcos Dorados Holdings'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.


Arcos Dorados Holdings's Cyclically Adjusted Price-to-FCF Distribution in the Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Arcos Dorados Holdings's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Arcos Dorados Holdings 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, Arcos Dorados Holdings'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)
=-282.366/131.7762*131.7762
=-282.366

Current CPI (Mar. 2024) = 131.7762.

Arcos Dorados Holdings Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 -0.610 100.560 -0.799
201409 -0.674 100.428 -0.884
201412 4.649 99.070 6.184
201503 -1.728 99.621 -2.286
201506 0.488 100.684 0.639
201509 0.601 100.392 0.789
201512 2.307 99.792 3.046
201603 -1.895 100.470 -2.485
201606 0.639 101.688 0.828
201609 1.811 101.861 2.343
201612 4.641 101.863 6.004
201703 -2.349 102.862 -3.009
201706 3.666 103.349 4.674
201709 1.913 104.136 2.421
201712 3.624 104.011 4.591
201803 -4.581 105.290 -5.733
201806 2.091 106.317 2.592
201809 -0.539 106.507 -0.667
201812 3.230 105.998 4.016
201903 -1.484 107.251 -1.823
201906 -5.305 108.070 -6.469
201909 0.989 108.329 1.203
201912 -3.577 108.420 -4.348
202003 -29.083 108.902 -35.192
202006 -11.262 108.767 -13.644
202009 5.814 109.815 6.977
202012 17.293 109.897 20.736
202103 -4.529 111.754 -5.340
202106 -1.061 114.631 -1.220
202109 36.434 115.734 41.484
202112 37.215 117.630 41.691
202203 5.288 121.301 5.745
202206 24.322 125.017 25.637
202209 38.555 125.227 40.572
202212 13.501 125.222 14.208
202303 -16.407 127.348 -16.978
202306 -24.379 128.729 -24.956
202309 0.000 129.860 0.000
202312 29.722 129.419 30.263
202403 -282.366 131.776 -282.366

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


Arcos Dorados Holdings  (BUE:ARCO) 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.

Arcos Dorados Holdings's Cyclically Adjusted Price-to-FCF of today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/Cyclically Adjusted FCF per Share
=25730.00/386.81
=66.52

* 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 Arcos Dorados Holdings was 807.54. The lowest was 50.86. And the median was 79.85.


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.


Arcos Dorados Holdings Cyclically Adjusted FCF per Share Related Terms

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


Arcos Dorados Holdings (BUE:ARCO) Business Description

Traded in Other Exchanges
Address
Dr. Luis Bonavita 1294, Office 501, WTC Free Zone, Montevideo, URY, 11300
Arcos Dorados Holdings Inc operates McDonald's-branded restaurants in approximately 20 countries and territories in Latin America and the Caribbean. It functions through two sources which include company-operated restaurants and franchised restaurants segment. Their menu includes hamburgers, McNuggets, salad, sandwiches, french fries and others.