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Gap (FRA:GAP) Cyclically Adjusted FCF per Share : €1.72 (As of Jan. 2025)


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What is Gap 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.

Gap's adjusted free cash flow per share for the three months ended in Jan. 2025 was €1.246. 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 €1.72 for the trailing ten years ended in Jan. 2025.

During the past 12 months, Gap's average Cyclically Adjusted FCF Growth Rate was -5.90% per year. During the past 3 years, the average Cyclically Adjusted FCF Growth Rate was -5.00% per year. During the past 5 years, the average Cyclically Adjusted FCF Growth Rate was -4.90% per year. During the past 10 years, the average Cyclically Adjusted FCF Growth Rate was -2.80% 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 Gap was 30.20% per year. The lowest was -7.70% per year. And the median was 7.65% per year.

As of today (2025-05-21), Gap's current stock price is €24.255. Gap's Cyclically Adjusted FCF per Share for the quarter that ended in Jan. 2025 was €1.72. Gap's Cyclically Adjusted Price-to-FCF of today is 14.10.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of Gap was 18.17. The lowest was 2.46. And the median was 10.35.


Gap Cyclically Adjusted FCF per Share Historical Data

The historical data trend for Gap'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.

Gap Cyclically Adjusted FCF per Share Chart

Gap Annual Data
Trend Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24 Jan25
Cyclically Adjusted FCF per Share
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.72 1.82 1.60 1.76 1.72

Gap Quarterly Data
Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25
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 1.76 1.69 1.63 1.75 1.72

Competitive Comparison of Gap's Cyclically Adjusted FCF per Share

For the Apparel Retail subindustry, Gap'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.


Gap's Cyclically Adjusted Price-to-FCF Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Gap's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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


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Gap 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, Gap's adjusted Free Cash Flow per Share data for the three months ended in Jan. 2025 was:

Adj_FreeCashFlowPerShare= Free Cash Flow per Share /CPI of Jan. 2025 (Change)*Current CPI (Jan. 2025)
=1.246/134.0288*134.0288
=1.246

Current CPI (Jan. 2025) = 134.0288.

Gap Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201504 0.133 99.824 0.179
201507 0.609 100.691 0.811
201510 -0.245 100.346 -0.327
201601 1.468 99.957 1.968
201604 0.064 100.947 0.085
201607 0.987 101.524 1.303
201610 -0.107 101.988 -0.141
201701 1.819 102.456 2.380
201704 -0.044 103.167 -0.057
201707 0.504 103.278 0.654
201710 -0.160 104.070 -0.206
201801 1.068 104.578 1.369
201804 -0.423 105.708 -0.536
201807 0.931 106.324 1.174
201810 -0.366 106.695 -0.460
201901 1.419 106.200 1.791
201904 -1.119 107.818 -1.391
201907 0.930 108.250 1.151
201910 -0.611 108.577 -0.754
202001 1.691 108.841 2.082
202004 -2.626 108.173 -3.254
202007 1.784 109.318 2.187
202010 0.908 109.861 1.108
202101 -0.579 110.364 -0.703
202104 0.469 112.673 0.558
202107 0.673 115.183 0.783
202110 -0.750 116.696 -0.861
202201 -0.190 118.619 -0.215
202204 -1.477 121.978 -1.623
202207 -0.062 125.002 -0.066
202210 -0.211 125.734 -0.225
202301 1.545 126.223 1.641
202304 -0.253 127.992 -0.265
202307 1.050 128.974 1.091
202310 0.543 129.810 0.561
202401 1.354 130.124 1.395
202404 -0.153 132.289 -0.155
202407 1.107 132.708 1.118
202410 0.343 133.182 0.345
202501 1.246 134.029 1.246

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


Gap  (FRA:GAP) 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/Cyclically Adjusted FCF per Share
=24.255/1.72
=14.10

* 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 Gap was 18.17. The lowest was 2.46. And the median was 10.35.


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.


Gap Cyclically Adjusted FCF per Share Related Terms

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


Gap Business Description

Industry
Address
Two Folsom Street, San Francisco, CA, USA, 94105
Gap retails apparel, accessories, and personal-care products under the Gap, Old Navy, Banana Republic, and Athleta brands. Old Navy generates more than half of Gap's sales. The firm also operates e-commerce sites, outlet stores, and specialty stores under various Gap names. Gap operates approximately 2,500 stores in North America, Europe, and Asia and franchises about 1,000 more in Asia, Europe, Latin America, and other regions. Gap was founded in 1969 and is based in San Francisco.