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SKF AB (OSTO:SKF B) Cyclically Adjusted Price-to-FCF : 18.08 (As of Jan. 18, 2025)


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What is SKF AB Cyclically Adjusted Price-to-FCF?

As of today (2025-01-18), SKF AB's current share price is kr217.30. SKF AB's Cyclically Adjusted FCF per Share for the quarter that ended in Sep. 2024 was kr12.02. SKF AB's Cyclically Adjusted Price-to-FCF for today is 18.08.

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

OSTO:SKF B' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 12.56   Med: 18.03   Max: 26.47
Current: 17.63

During the past years, SKF AB's highest Cyclically Adjusted Price-to-FCF was 26.47. The lowest was 12.56. And the median was 18.03.

OSTO:SKF B's Cyclically Adjusted Price-to-FCF is ranked better than
74.97% of 959 companies
in the Industrial Products industry
Industry Median: 33.66 vs OSTO:SKF B: 17.63

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.

SKF AB's adjusted free cash flow per share data for the three months ended in Sep. 2024 was kr4.711. 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 kr12.02 for the trailing ten years ended in Sep. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


SKF AB Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for SKF AB'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.

SKF AB Cyclically Adjusted Price-to-FCF Chart

SKF AB 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 19.46 21.51 22.11 16.22 18.04

SKF AB 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 16.50 18.04 19.20 17.71 16.80

Competitive Comparison of SKF AB's Cyclically Adjusted Price-to-FCF

For the Tools & Accessories subindustry, SKF AB'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.


SKF AB's Cyclically Adjusted Price-to-FCF Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, SKF AB's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



SKF AB 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=217.30/12.02
=18.08

* 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.

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

For example, SKF AB'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)
=4.711/132.3043*132.3043
=4.711

Current CPI (Sep. 2024) = 132.3043.

SKF AB Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201412 4.803 100.225 6.340
201503 1.838 99.950 2.433
201506 1.348 99.995 1.784
201509 3.971 100.228 5.242
201512 4.722 100.276 6.230
201603 1.116 100.751 1.466
201606 2.395 101.019 3.137
201609 3.411 101.138 4.462
201612 3.400 102.022 4.409
201703 0.026 102.022 0.034
201706 3.082 102.752 3.968
201709 1.495 103.279 1.915
201712 3.793 103.793 4.835
201803 0.342 103.962 0.435
201806 4.784 104.875 6.035
201809 2.935 105.679 3.674
201812 4.030 105.912 5.034
201903 1.459 105.886 1.823
201906 3.177 106.742 3.938
201909 4.601 107.214 5.678
201912 3.194 107.766 3.921
202003 4.054 106.563 5.033
202006 -2.298 107.498 -2.828
202009 4.815 107.635 5.919
202012 4.173 108.296 5.098
202103 -1.546 108.360 -1.888
202106 1.030 108.928 1.251
202109 3.228 110.338 3.871
202112 0.268 112.486 0.315
202203 -3.033 114.825 -3.495
202206 -0.525 118.384 -0.587
202209 -0.281 122.296 -0.304
202212 4.667 126.365 4.886
202303 2.734 127.042 2.847
202306 4.438 129.407 4.537
202309 5.051 130.224 5.132
202312 5.396 131.912 5.412
202403 1.722 132.205 1.723
202406 1.821 132.716 1.815
202409 4.711 132.304 4.711

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.


SKF AB  (OSTO:SKF B) 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.


SKF AB Cyclically Adjusted Price-to-FCF Related Terms

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


SKF AB Business Description

Industry
Address
Sven Wingquists Gata 2, Gothenburg, SWE, SE-415 50
SKF's history goes back to the first major patents in ball bearings, when in 1907 it was the first to patent the self-aligning ball bearing. SKF, along with the Schaeffler Group, are the top two global ball bearing suppliers followed by Timken, NSK, NTN, and JTEKT. Combined, these six companies supply about 60% of the world's ball bearings. However, most of them have sector niches as ball bearings for industrial purposes are engineered for specific applications. SKF is based out of Sweden and has a global manufacturing footprint of 106 sites and about 17,000 global distributor locations. The firm operates under two segments: industrials, which has a fairly fragmented customer base; and automotive, which is the opposite, with a concentrated customer base including the likes of Tesla.

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