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Orkla ASA (OSTO:ORKO) Cyclically Adjusted Price-to-FCF : 16.92 (As of May. 21, 2024)


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What is Orkla ASA Cyclically Adjusted Price-to-FCF?

As of today (2024-05-21), Orkla ASA's current share price is kr81.70. Orkla ASA's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was kr4.83. Orkla ASA's Cyclically Adjusted Price-to-FCF for today is 16.92.

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

OSTO:ORKo' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 14.05   Med: 18.25   Max: 21.6
Current: 16.9

During the past years, Orkla ASA's highest Cyclically Adjusted Price-to-FCF was 21.60. The lowest was 14.05. And the median was 18.25.

OSTO:ORKo's Cyclically Adjusted Price-to-FCF is ranked better than
63.93% of 718 companies
in the Consumer Packaged Goods industry
Industry Median: 23.62 vs OSTO:ORKo: 16.90

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.

Orkla ASA's adjusted free cash flow per share data for the three months ended in Mar. 2024 was kr1.148. 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 kr4.83 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Orkla ASA Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Orkla ASA'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.

Orkla ASA Cyclically Adjusted Price-to-FCF Chart

Orkla ASA 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 20.51 20.05 19.30 15.65 16.49

Orkla ASA 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 16.24 16.65 16.80 16.49 15.72

Competitive Comparison of Orkla ASA's Cyclically Adjusted Price-to-FCF

For the Packaged Foods subindustry, Orkla ASA'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.


Orkla ASA's Cyclically Adjusted Price-to-FCF Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Orkla ASA's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Orkla ASA 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=81.70/4.83
=16.92

* 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.

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

For example, Orkla ASA'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)
=1.148/132.6000*132.6000
=1.148

Current CPI (Mar. 2024) = 132.6000.

Orkla ASA Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 0.538 97.500 0.732
201409 0.734 98.500 0.988
201412 1.312 98.600 1.764
201503 0.377 99.200 0.504
201506 0.755 100.100 1.000
201509 1.001 100.600 1.319
201512 1.654 100.900 2.174
201603 0.479 102.500 0.620
201606 0.739 103.800 0.944
201609 1.228 104.200 1.563
201612 1.609 104.400 2.044
201703 0.818 105.000 1.033
201706 2.427 105.800 3.042
201709 1.389 105.900 1.739
201712 1.325 106.100 1.656
201803 0.166 107.300 0.205
201806 0.951 108.500 1.162
201809 2.072 109.500 2.509
201812 2.027 109.800 2.448
201903 0.551 110.400 0.662
201906 -0.068 110.600 -0.082
201909 1.473 111.100 1.758
201912 1.642 111.300 1.956
202003 0.323 111.200 0.385
202006 1.046 112.100 1.237
202009 1.433 112.900 1.683
202012 1.188 112.900 1.395
202103 0.249 114.600 0.288
202106 0.648 115.300 0.745
202109 1.367 117.500 1.543
202112 1.415 118.900 1.578
202203 0.003 119.800 0.003
202206 -0.313 122.600 -0.339
202209 1.427 125.600 1.507
202212 1.297 125.900 1.366
202303 0.013 127.600 0.014
202306 0.376 130.400 0.382
202309 2.393 129.800 2.445
202312 1.556 131.900 1.564
202403 1.148 132.600 1.148

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.


Orkla ASA  (OSTO:ORKo) 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.


Orkla ASA Cyclically Adjusted Price-to-FCF Related Terms

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


Orkla ASA (OSTO:ORKO) Business Description

Address
Drammensveien 149, Oslo, NOR, NO-0277
Orkla ASA is a branded consumer goods company, originally from Norway. Its business consists of the following divisions: Orkla Foods, Orkla Confectionery and Snacks, Orkla Care, Orkla Food Ingredients, and Orkla Consumer & Financial Investments business. Orkla offers its products to the grocery sector, specialty retailers, out-of-home sectors, and the bakery market. Orkla's main geographical markets are the Nordic and Norway regions, which account for more than half of the total sales. The Orkla Group also sells some of its product categories in Central Europe and India.

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