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Rolls-Royce Holdings (Rolls-Royce Holdings) Cyclically Adjusted Price-to-FCF : (As of May. 14, 2024)


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What is Rolls-Royce Holdings Cyclically Adjusted Price-to-FCF?

Shiller PE for Stocks: The True Measure of Stock Valuation


Rolls-Royce Holdings Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Rolls-Royce Holdings'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.

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Rolls-Royce Holdings Cyclically Adjusted Price-to-FCF Chart

Rolls-Royce Holdings 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 24.45 65.91 - - -

Rolls-Royce Holdings Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
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 - - - - -

Competitive Comparison of Rolls-Royce Holdings's Cyclically Adjusted Price-to-FCF

For the Aerospace & Defense subindustry, Rolls-Royce Holdings'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.


Rolls-Royce Holdings's Cyclically Adjusted Price-to-FCF Distribution in the Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Rolls-Royce Holdings's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Rolls-Royce Holdings 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.

Rolls-Royce Holdings's Cyclically Adjusted FCF per Share for the fiscal year that ended in Dec23 is calculated as:

For example, Rolls-Royce Holdings's adjusted Free Cash Flow per Share data for the fiscal year that ended in Dec23 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Dec23 (Change)*Current CPI (Dec23)
=0.267/130.0000*130.0000
=0.267

Current CPI (Dec23) = 130.0000.

Rolls-Royce Holdings Annual Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201412 0.050 99.900 0.065
201512 0.056 100.400 0.073
201612 0.046 102.200 0.059
201712 0.034 105.000 0.042
201812 0.150 107.100 0.182
201912 0.215 108.500 0.258
202012 -0.889 109.400 -1.056
202112 -0.130 114.700 -0.147
202212 0.135 125.300 0.140
202312 0.267 130.000 0.267

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.


Rolls-Royce Holdings  (OTCPK:RYCEY) 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.


Rolls-Royce Holdings Cyclically Adjusted Price-to-FCF Related Terms

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


Rolls-Royce Holdings (Rolls-Royce Holdings) Business Description

Traded in Other Exchanges
Address
90 York Way, Kings Place, London, GBR, N1 9FX
Rolls-Royce operates three core business segments: civil aerospace, power systems, and defense. The civil aerospace segment builds engines powering wide-body aircraft, regional and business jets, and offers aftermarket services. Twenty years ago, the firm pioneered full-service flight hour contracts with the TotalCare package. Power systems provides power solutions to multiple end markets (defense, agriculture, marine, and power generation) while the defense business provides military, ground vehicle and naval propulsion solutions.

Rolls-Royce Holdings (Rolls-Royce Holdings) Headlines

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