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Prudential Financial (STU:PLL) Cyclically Adjusted FCF per Share : €31.36 (As of Mar. 2025)


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What is Prudential Financial 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.

Prudential Financial's adjusted free cash flow per share for the three months ended in Mar. 2025 was €-6.510. 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 €31.36 for the trailing ten years ended in Mar. 2025.

During the past 12 months, Prudential Financial's average Cyclically Adjusted FCF Growth Rate was -14.10% per year. During the past 3 years, the average Cyclically Adjusted FCF Growth Rate was -3.10% per year. During the past 5 years, the average Cyclically Adjusted FCF Growth Rate was -0.20% per year. During the past 10 years, the average Cyclically Adjusted FCF Growth Rate was 5.20% 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 Prudential Financial was 17.30% per year. The lowest was -3.10% per year. And the median was 9.30% per year.

As of today (2025-05-22), Prudential Financial's current stock price is €90.06. Prudential Financial's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2025 was €31.36. Prudential Financial's Cyclically Adjusted Price-to-FCF of today is 2.87.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of Prudential Financial was 4.23. The lowest was 1.15. And the median was 2.86.


Prudential Financial Cyclically Adjusted FCF per Share Historical Data

The historical data trend for Prudential Financial'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.

Prudential Financial Cyclically Adjusted FCF per Share Chart

Prudential Financial Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Cyclically Adjusted FCF per Share
Get a 7-Day Free Trial Premium Member Only Premium Member Only 29.63 34.93 34.86 34.00 33.80

Prudential Financial Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
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 36.24 36.10 33.41 33.80 31.36

Competitive Comparison of Prudential Financial's Cyclically Adjusted FCF per Share

For the Insurance - Life subindustry, Prudential Financial'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.


Prudential Financial's Cyclically Adjusted Price-to-FCF Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, Prudential Financial's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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


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

Adj_FreeCashFlowPerShare= Free Cash Flow per Share /CPI of Mar. 2025 (Change)*Current CPI (Mar. 2025)
=-6.51/134.9266*134.9266
=-6.510

Current CPI (Mar. 2025) = 134.9266.

Prudential Financial Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201506 -3.967 100.684 -5.316
201509 16.179 100.392 21.745
201512 4.232 99.792 5.722
201603 12.554 100.470 16.859
201606 14.281 101.688 18.949
201609 7.113 101.861 9.422
201612 -4.748 101.863 -6.289
201703 3.509 102.862 4.603
201706 6.244 103.349 8.152
201709 7.857 104.136 10.180
201712 9.135 104.011 11.850
201803 4.334 105.290 5.554
201806 8.748 106.317 11.102
201809 7.250 106.507 9.185
201812 23.245 105.998 29.589
201903 6.538 107.251 8.225
201906 11.202 108.070 13.986
201909 16.262 108.329 20.255
201912 8.877 108.420 11.047
202003 33.661 108.902 41.705
202006 -2.896 108.767 -3.593
202009 -1.279 109.815 -1.571
202012 -9.358 109.897 -11.489
202103 -6.945 111.754 -8.385
202106 9.251 114.631 10.889
202109 11.904 115.734 13.878
202112 7.746 117.630 8.885
202203 0.002 121.301 0.002
202206 3.793 125.017 4.094
202209 11.646 125.227 12.548
202212 -1.596 125.222 -1.720
202303 3.411 127.348 3.614
202306 3.086 128.729 3.235
202309 7.339 129.860 7.625
202312 2.802 129.419 2.921
202403 13.324 131.776 13.643
202406 -0.376 132.554 -0.383
202409 2.776 133.029 2.816
202412 6.203 133.157 6.285
202503 -6.510 134.927 -6.510

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


Prudential Financial  (STU:PLL) 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/Cyclically Adjusted FCF per Share
=90.06/31.36
=2.87

* 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 Prudential Financial was 4.23. The lowest was 1.15. And the median was 2.86.


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.


Prudential Financial Cyclically Adjusted FCF per Share Related Terms

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


Prudential Financial Business Description

Traded in Other Exchanges
Address
751 Broad Street, Newark, NJ, USA, 07102
Prudential Financial is a large, diversified insurance company offering annuities, life insurance, retirement plan services, and asset-management products. While it operates in a number of countries, the vast majority of revenue is generated in the United States and Japan. The company's investment management business, PGIM, contributes approximately 10% of its earnings and has around $1.3 trillion in assets under management. The US businesses are responsible for about 50% of earnings and can be classified into Institutional Retirement Strategies, Individual Retirement Strategies, Group Insurance, Individual Life Insurance, and Assurance IQ. Finally, the international business segment of the company contributes approximately 40% of earnings with a strong market position in Japan.