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Argan (FRA:1AW) Cyclically Adjusted Price-to-FCF : 18.84 (As of May. 17, 2024)


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What is Argan Cyclically Adjusted Price-to-FCF?

As of today (2024-05-17), Argan's current share price is €62.00. Argan's Cyclically Adjusted FCF per Share for the quarter that ended in Jan. 2024 was €3.29. Argan's Cyclically Adjusted Price-to-FCF for today is 18.84.

The historical rank and industry rank for Argan's Cyclically Adjusted Price-to-FCF or its related term are showing as below:

FRA:1AW' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 9.62   Med: 14.89   Max: 29.22
Current: 18.87

During the past years, Argan's highest Cyclically Adjusted Price-to-FCF was 29.22. The lowest was 9.62. And the median was 14.89.

FRA:1AW's Cyclically Adjusted Price-to-FCF is ranked worse than
52.5% of 581 companies
in the Construction industry
Industry Median: 17.88 vs FRA:1AW: 18.87

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.

Argan's adjusted free cash flow per share data for the three months ended in Jan. 2024 was €1.625. Add all the adjusted free cash flow per share for the past 10 years together and divide 10 will get our Cyclically Adjusted FCF per Share, which is €3.29 for the trailing ten years ended in Jan. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Argan Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Argan'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.

Argan Cyclically Adjusted Price-to-FCF Chart

Argan Annual Data
Trend Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
Cyclically Adjusted Price-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.62 11.17 10.19 11.35 12.61

Argan Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
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 11.35 11.47 9.64 11.57 12.61

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

For the Engineering & Construction subindustry, Argan'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.


Argan's Cyclically Adjusted Price-to-FCF Distribution in the Construction Industry

For the Construction industry and Industrials sector, Argan's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Argan 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.

Argan's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=62.00/3.29
=18.84

* 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.

Argan's Cyclically Adjusted FCF per Share for the quarter that ended in Jan. 2024 is calculated as:

For example, Argan's adjusted Free Cash Flow per Share data for the three months ended in Jan. 2024 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Jan. 2024 (Change)*Current CPI (Jan. 2024)
=1.625/130.1244*130.1244
=1.625

Current CPI (Jan. 2024) = 130.1244.

Argan Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201404 1.997 100.023 2.598
201407 1.506 100.520 1.950
201410 0.755 100.176 0.981
201501 0.337 98.604 0.445
201504 -0.217 99.824 -0.283
201507 -1.702 100.691 -2.200
201510 -1.033 100.346 -1.340
201601 0.788 99.957 1.026
201604 2.544 100.947 3.279
201607 4.005 101.524 5.133
201610 4.175 101.988 5.327
201701 4.304 102.456 5.466
201704 2.313 103.167 2.917
201707 -0.402 103.278 -0.506
201710 -3.153 104.070 -3.942
201801 -2.652 104.578 -3.300
201804 -3.364 105.708 -4.141
201807 0.040 106.324 0.049
201810 -2.359 106.695 -2.877
201901 -0.805 106.200 -0.986
201904 -2.191 107.818 -2.644
201907 -1.010 108.250 -1.214
201910 3.805 108.577 4.560
202001 2.127 108.841 2.543
202004 2.323 108.173 2.794
202007 3.431 109.318 4.084
202010 2.114 109.861 2.504
202101 1.711 110.364 2.017
202104 0.864 112.673 0.998
202107 1.571 115.183 1.775
202110 -0.302 116.696 -0.337
202201 -0.764 118.619 -0.838
202204 -2.469 121.978 -2.634
202207 -1.204 125.002 -1.253
202210 -1.334 125.734 -1.381
202301 2.864 126.223 2.953
202304 -0.127 127.992 -0.129
202307 2.364 128.974 2.385
202310 3.953 129.810 3.963
202401 1.625 130.124 1.625

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.


Argan  (FRA:1AW) 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.


Argan Cyclically Adjusted Price-to-FCF Related Terms

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


Argan (FRA:1AW) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Industrials » Construction » Argan Inc (FRA:1AW) » Definitions » Cyclically Adjusted Price-to-FCF
Traded in Other Exchanges
Address
One Church Street, Suite 201, Rockville, MD, USA, 20850
Argan Inc is a United States-based company that primarily operates in the power industry services segment through its wholly-owned subsidiaries. Gemma Power Systems and affiliates, one of Argan's subsidiaries, contributed almost all Argan's sales. GPS is a contractor that provides a full range of engineering, procurement, and construction services for power-generating projects. GPS' works encompass complete plant design, construction, electrical interconnection, plant testing, and commissioning. Argan also generates a small portion of sales from industrial fabrication and field services, as well as telecommunication infrastructure services. It operates in three segments: Power Services, Industrial Services, and Telecom Services, out of which Power Services derive majority revenue.

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