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Encompass Health (FRA:HSOA) Cyclically Adjusted Price-to-FCF : 24.00 (As of May. 20, 2024)


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What is Encompass Health Cyclically Adjusted Price-to-FCF?

As of today (2024-05-20), Encompass Health's current share price is €78.00. Encompass Health's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was €3.25. Encompass Health's Cyclically Adjusted Price-to-FCF for today is 24.00.

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

FRA:HSOA' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 10.4   Med: 16.22   Max: 22.89
Current: 22.62

During the past years, Encompass Health's highest Cyclically Adjusted Price-to-FCF was 22.89. The lowest was 10.40. And the median was 16.22.

FRA:HSOA's Cyclically Adjusted Price-to-FCF is ranked better than
52.05% of 171 companies
in the Healthcare Providers & Services industry
Industry Median: 23.87 vs FRA:HSOA: 22.62

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.

Encompass Health's adjusted free cash flow per share data for the three months ended in Mar. 2024 was €0.895. 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 €3.25 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Encompass Health Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Encompass Health'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.

Encompass Health Cyclically Adjusted Price-to-FCF Chart

Encompass Health Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted Price-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 16.47 19.33 14.60 16.58 18.17

Encompass Health 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 14.64 18.08 17.71 18.17 21.86

Competitive Comparison of Encompass Health's Cyclically Adjusted Price-to-FCF

For the Medical Care Facilities subindustry, Encompass Health'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.


Encompass Health's Cyclically Adjusted Price-to-FCF Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Encompass Health's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Encompass Health 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=78.00/3.25
=24.00

* 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.

Encompass Health's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 is calculated as:

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

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=0.895/131.7762*131.7762
=0.895

Current CPI (Mar. 2024) = 131.7762.

Encompass Health Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 0.667 100.560 0.874
201409 0.723 100.428 0.949
201412 0.232 99.070 0.309
201503 0.689 99.621 0.911
201506 0.597 100.684 0.781
201509 1.044 100.392 1.370
201512 0.765 99.792 1.010
201603 1.179 100.470 1.546
201606 0.937 101.688 1.214
201609 1.190 101.861 1.539
201612 0.660 101.863 0.854
201703 1.318 102.862 1.688
201706 0.745 103.349 0.950
201709 0.968 104.136 1.225
201712 0.617 104.011 0.782
201803 1.276 105.290 1.597
201806 0.951 106.317 1.179
201809 1.134 106.507 1.403
201812 0.763 105.998 0.949
201903 0.778 107.251 0.956
201906 0.493 108.070 0.601
201909 0.070 108.329 0.085
201912 0.732 108.420 0.890
202003 -0.492 108.902 -0.595
202006 1.198 108.767 1.451
202009 0.701 109.815 0.841
202012 1.125 109.897 1.349
202103 0.500 111.754 0.590
202106 1.093 114.631 1.256
202109 0.476 115.734 0.542
202112 -0.684 117.630 -0.766
202203 0.961 121.301 1.044
202206 1.244 125.017 1.311
202209 -0.796 125.227 -0.838
202212 -0.347 125.222 -0.365
202303 1.186 127.348 1.227
202306 0.846 128.729 0.866
202309 0.633 129.860 0.642
202312 -0.194 129.419 -0.198
202403 0.895 131.776 0.895

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.


Encompass Health  (FRA:HSOA) 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.


Encompass Health Cyclically Adjusted Price-to-FCF Related Terms

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


Encompass Health (FRA:HSOA) Business Description

Traded in Other Exchanges
Address
9001 Liberty Parkway, Birmingham, AL, USA, 35242
Encompass Health Corp provides post-acute healthcare services in the United States through a network of inpatient rehabilitation hospitals. Inpatient rehabilitation contributes the majority of the firm's revenue and provides specialized rehabilitative treatment through a network of inpatient hospitals. These hospitals are concentrated in the eastern half of the United States and Texas.

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