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Infosys (BOM:500209) Cyclically Adjusted Price-to-FCF : (As of Apr. 30, 2024)


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What is Infosys Cyclically Adjusted Price-to-FCF?

Shiller PE for Stocks: The True Measure of Stock Valuation


Infosys Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Infosys's Cyclically Adjusted Price-to-FCF 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.

Infosys Cyclically Adjusted Price-to-FCF Chart

Infosys Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Cyclically Adjusted Price-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 23.11 41.93 51.37 34.46 -

Infosys Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted Price-to-FCF 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 34.46 - - - -

Competitive Comparison of Infosys's Cyclically Adjusted Price-to-FCF

For the Information Technology Services subindustry, Infosys'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.


Infosys's Cyclically Adjusted Price-to-FCF Distribution in the Software Industry

For the Software industry and Technology sector, Infosys's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Infosys Cyclically Adjusted Price-to-FCF Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted Price-to-FCF takes the Free Cash Flow per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/FCF calculation. Because it considers this 10-year average, it's often referred to as the CAPFCF 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 Price-to-FCF.

Infosys's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 is calculated as:

For example, Infosys'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)
=0/153.2548*153.2548
=0.000

Current CPI (Dec. 2023) = 153.2548.

Infosys Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201403 5.608 91.425 9.401
201406 5.124 94.103 8.345
201409 8.387 96.780 13.281
201412 7.560 96.780 11.971
201503 -2.068 97.163 -3.262
201506 3.346 99.841 5.136
201509 5.753 101.753 8.665
201512 5.475 102.901 8.154
201603 6.473 102.518 9.676
201606 4.779 105.961 6.912
201609 6.713 105.961 9.709
201612 6.960 105.196 10.140
201703 5.488 105.196 7.995
201706 7.906 107.109 11.312
201709 5.467 109.021 7.685
201712 8.009 109.404 11.219
201803 6.687 109.786 9.335
201806 8.732 111.317 12.022
201809 6.468 115.142 8.609
201812 8.041 115.142 10.703
201903 7.282 118.202 9.441
201906 7.806 120.880 9.897
201909 6.712 123.175 8.351
201912 11.725 126.235 14.235
202003 11.737 124.705 14.424
202006 12.847 127.000 15.503
202009 11.469 130.118 13.508
202012 13.129 130.889 15.372
202103 13.793 131.771 16.042
202106 15.073 134.084 17.228
202109 12.280 135.847 13.854
202112 12.786 138.161 14.183
202203 14.495 138.822 16.002
202206 12.019 142.347 12.940
202209 11.831 144.661 12.534
202212 11.700 145.763 12.301
202303 14.023 146.865 14.633
202306 0.000 150.280 0.000
202309 0.000 151.492 0.000
202312 0.000 153.255 0.000

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


Infosys  (BOM:500209) Cyclically Adjusted Price-to-FCF Explanation

Compared with the regular Price-to-Free-Cash-Flow, which works poorly for cyclical businesses, the Cyclically Adjusted Price-to-FCF smoothed out the fluctuations of free cash flow 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 Price-to-FCF should give similar results to regular Price-to-Free-Cash-Flow.


Infosys Cyclically Adjusted Price-to-FCF Related Terms

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Infosys (BOM:500209) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Technology » Software » Infosys Ltd (BOM:500209) » Definitions » Cyclically Adjusted Price-to-FCF
Address
44, Infosys Avenue, Hosur Road, Electronics City, Bengaluru, KA, IND, 560 100
Infosys is a leading global IT services provider, with nearly 250,000 employees. Based in Bangalore, the Indian IT services firm leverages its offshore outsourcing model to derive 60% of its revenue from North America. The company offers traditional IT services offerings: consulting, managed services and cloud infrastructure services, and business process outsourcing as a service (BPaaS).

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