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American Express Co (LIM:AXP) Cyclically Adjusted Price-to-FCF : 21.70 (As of Dec. 15, 2024)


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What is American Express Co Cyclically Adjusted Price-to-FCF?

As of today (2024-12-15), American Express Co's current share price is $289.50. American Express Co's Cyclically Adjusted FCF per Share for the quarter that ended in Sep. 2024 was $13.34. American Express Co's Cyclically Adjusted Price-to-FCF for today is 21.70.

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

LIM:AXP' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 7.34   Med: 12.33   Max: 19.3
Current: 19.13

During the past years, American Express Co's highest Cyclically Adjusted Price-to-FCF was 19.30. The lowest was 7.34. And the median was 12.33.

LIM:AXP's Cyclically Adjusted Price-to-FCF is ranked worse than
70.27% of 111 companies
in the Credit Services industry
Industry Median: 8.63 vs LIM:AXP: 19.13

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.

American Express Co's adjusted free cash flow per share data for the three months ended in Sep. 2024 was $-3.197. 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 $13.34 for the trailing ten years ended in Sep. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


American Express Co Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for American Express Co'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.

American Express Co Cyclically Adjusted Price-to-FCF Chart

American Express Co 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 13.01 12.83 15.03 10.94 12.18

American Express Co Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 10.25 12.18 14.24 14.05 17.18

Competitive Comparison of American Express Co's Cyclically Adjusted Price-to-FCF

For the Credit Services subindustry, American Express Co'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.


American Express Co's Cyclically Adjusted Price-to-FCF Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, American Express Co's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



American Express Co 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.

American Express Co's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=289.50/13.34
=21.70

* 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.

American Express Co's Cyclically Adjusted FCF per Share for the quarter that ended in Sep. 2024 is calculated as:

For example, American Express Co's adjusted Free Cash Flow per Share data for the three months ended in Sep. 2024 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Sep. 2024 (Change)*Current CPI (Sep. 2024)
=-3.197/133.0289*133.0289
=-3.197

Current CPI (Sep. 2024) = 133.0289.

American Express Co Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201412 1.997 99.070 2.682
201503 1.828 99.621 2.441
201506 1.805 100.684 2.385
201509 3.257 100.392 4.316
201512 2.472 99.792 3.295
201603 2.313 100.470 3.063
201606 0.344 101.688 0.450
201609 1.544 101.861 2.016
201612 3.224 101.863 4.210
201703 0.978 102.862 1.265
201706 3.206 103.349 4.127
201709 4.566 104.136 5.833
201712 5.425 104.011 6.939
201803 2.121 105.290 2.680
201806 3.172 106.317 3.969
201809 5.524 106.507 6.900
201812 -1.982 105.998 -2.487
201903 9.726 107.251 12.064
201906 2.916 108.070 3.589
201909 -1.711 108.329 -2.101
201912 3.393 108.420 4.163
202003 -3.161 108.902 -3.861
202006 2.206 108.767 2.698
202009 2.270 109.815 2.750
202012 3.801 109.897 4.601
202103 2.436 111.754 2.900
202106 3.560 114.631 4.131
202109 4.755 115.734 5.466
202112 5.900 117.630 6.672
202203 4.529 121.301 4.967
202206 5.056 125.017 5.380
202209 5.427 125.227 5.765
202212 10.573 125.222 11.232
202303 -0.992 127.348 -1.036
202306 4.788 128.729 4.948
202309 10.700 129.860 10.961
202312 8.725 129.419 8.968
202403 7.140 131.776 7.208
202406 5.534 132.554 5.554
202409 -3.197 133.029 -3.197

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.


American Express Co  (LIM:AXP) 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.


American Express Co Cyclically Adjusted Price-to-FCF Related Terms

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


American Express Co Business Description

Address
200 Vesey Street, New York, NY, USA, 10285
American Express is a global financial institution, operating in about 130 countries, that provides consumers and businesses charge and credit card payment products. The company also operates a highly profitable merchant payment network. Since 2018, it has operated in three segments: global consumer services, global commercial services, and global merchant and network services. In addition to payment products, the company's commercial business offers expense management tools, consulting services, and business loans.