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Arrow Electronics (STU:ARW) Cyclically Adjusted Price-to-FCF : 18.03 (As of Sep. 20, 2024)


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What is Arrow Electronics Cyclically Adjusted Price-to-FCF?

As of today (2024-09-20), Arrow Electronics's current share price is €119.00. Arrow Electronics's Cyclically Adjusted FCF per Share for the quarter that ended in Jun. 2024 was €6.60. Arrow Electronics's Cyclically Adjusted Price-to-FCF for today is 18.03.

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

STU:ARW' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 11.95   Med: 20.39   Max: 32.81
Current: 18.66

During the past years, Arrow Electronics's highest Cyclically Adjusted Price-to-FCF was 32.81. The lowest was 11.95. And the median was 20.39.

STU:ARW's Cyclically Adjusted Price-to-FCF is ranked better than
68.52% of 880 companies
in the Hardware industry
Industry Median: 30.2 vs STU:ARW: 18.66

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.

Arrow Electronics's adjusted free cash flow per share data for the three months ended in Jun. 2024 was €5.111. 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 €6.60 for the trailing ten years ended in Jun. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Arrow Electronics Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Arrow Electronics'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.

Arrow Electronics Cyclically Adjusted Price-to-FCF Chart

Arrow Electronics 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 25.02 19.92 23.63 19.95 20.09

Arrow Electronics Quarterly Data
Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24
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 26.77 21.34 20.09 19.16 16.83

Competitive Comparison of Arrow Electronics's Cyclically Adjusted Price-to-FCF

For the Electronics & Computer Distribution subindustry, Arrow Electronics'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.


Arrow Electronics's Cyclically Adjusted Price-to-FCF Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Arrow Electronics's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Arrow Electronics 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.

Arrow Electronics's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=119.00/6.6
=18.03

* 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.

Arrow Electronics's Cyclically Adjusted FCF per Share for the quarter that ended in Jun. 2024 is calculated as:

For example, Arrow Electronics's adjusted Free Cash Flow per Share data for the three months ended in Jun. 2024 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Jun. 2024 (Change)*Current CPI (Jun. 2024)
=5.111/132.5538*132.5538
=5.111

Current CPI (Jun. 2024) = 132.5538.

Arrow Electronics Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201409 -0.723 100.428 -0.954
201412 3.497 99.070 4.679
201503 -2.595 99.621 -3.453
201506 3.903 100.684 5.138
201509 -1.427 100.392 -1.884
201512 4.963 99.792 6.592
201603 -0.802 100.470 -1.058
201606 1.053 101.688 1.373
201609 -0.120 101.861 -0.156
201612 1.888 101.863 2.457
201703 -0.857 102.862 -1.104
201706 -1.506 103.349 -1.932
201709 0.817 104.136 1.040
201712 0.648 104.011 0.826
201803 -1.000 105.290 -1.259
201806 -4.264 106.317 -5.316
201809 4.411 106.507 5.490
201812 2.137 105.998 2.672
201903 -3.720 107.251 -4.598
201906 3.739 108.070 4.586
201909 2.780 108.329 3.402
201912 5.045 108.420 6.168
202003 4.897 108.902 5.961
202006 4.334 108.767 5.282
202009 2.661 109.815 3.212
202012 1.780 109.897 2.147
202103 -0.274 111.754 -0.325
202106 2.897 114.631 3.350
202109 1.090 115.734 1.248
202112 0.089 117.630 0.100
202203 -2.899 121.301 -3.168
202206 -1.409 125.017 -1.494
202209 1.905 125.227 2.016
202212 1.304 125.222 1.380
202303 3.199 127.348 3.330
202306 -2.314 128.729 -2.383
202309 5.010 129.860 5.114
202312 4.356 129.419 4.461
202403 6.272 131.776 6.309
202406 5.111 132.554 5.111

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.


Arrow Electronics  (STU:ARW) 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.


Arrow Electronics Cyclically Adjusted Price-to-FCF Related Terms

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


Arrow Electronics Business Description

Industry
Traded in Other Exchanges
Address
9201 East Dry Creek Road, Centennial, CO, USA, 80112
Arrow Electronics Inc. is a provider of products, services, and solutions to industrial and commercial users of electronic components and enterprise computing solutions. It has one of the world's broadest portfolios of product offerings available from electronic components and enterprise computing solutions suppliers, coupled with a range of services, solutions, and software, the company helps industrial and commercial customers introduce products, reduce their time to market, and enhance their overall competitiveness. The company has two business segments, the components business and the enterprise computing solutions.