What is Federal Home Loan Mortgage Cyclically Adjusted PB Ratio?
Shiller PE for Stocks: The True Measure of Stock Valuation
Federal Home Loan Mortgage Cyclically Adjusted PB Ratio Historical Data
The historical data trend for Federal Home Loan Mortgage's Cyclically Adjusted PB Ratio 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.
Federal Home Loan Mortgage Cyclically Adjusted PB Ratio Chart
Competitive Comparison of Federal Home Loan Mortgage's Cyclically Adjusted PB Ratio
For the Mortgage Finance subindustry, Federal Home Loan Mortgage's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio 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.
Federal Home Loan Mortgage's Cyclically Adjusted PB Ratio Distribution in the Banks Industry
For the Banks industry and Financial Services sector, Federal Home Loan Mortgage's Cyclically Adjusted PB Ratio distribution charts can be found below:
* The bar in red indicates where Federal Home Loan Mortgage's Cyclically Adjusted PB Ratio falls into.
Federal Home Loan Mortgage Cyclically Adjusted PB Ratio Calculation
Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.
The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.
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.
Federal Home Loan Mortgage (FRA:FHL) Cyclically Adjusted PB Ratio Explanation
Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.
If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.
Federal Home Loan Mortgage Cyclically Adjusted PB Ratio Related Terms
Thank you for viewing the detailed overview of Federal Home Loan Mortgage's Cyclically Adjusted PB Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Federal Home Loan Mortgage Corp is a US based government-sponsored enterprise. The company invests in mortgage loans and mortgage-related securities. It operates in the following segments: Single-family, Multifamily. The company is engaged in originating, purchase, and guarantee single-family loans originated by its seller. It provides a guarantee and security for the payment of principal and interest on the mortgage-related securities in exchange for management and guarantee fees. The company purchases multifamily loans for aggregation and then securitization through the issuance of multifamily K Certificates as well as issues and guarantees other securitization products. Majority of the revenue is earned from single family.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
FRA:FHL has been successfully added to your 