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Baker Hughes (XSWX:BHI) Cyclically Adjusted Price-to-FCF : (As of May. 28, 2024)


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What is Baker Hughes Cyclically Adjusted Price-to-FCF?

Shiller PE for Stocks: The True Measure of Stock Valuation


Baker Hughes Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Baker Hughes'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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Baker Hughes Cyclically Adjusted Price-to-FCF Chart

Baker Hughes Annual Data
Trend Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16
Cyclically Adjusted Price-to-FCF
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Baker Hughes Quarterly Data
Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17
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Competitive Comparison of Baker Hughes's Cyclically Adjusted Price-to-FCF

For the Oil & Gas Equipment & Services subindustry, Baker Hughes'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.


Baker Hughes's Cyclically Adjusted Price-to-FCF Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Baker Hughes's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Baker Hughes 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.

Baker Hughes's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2017 is calculated as:

For example, Baker Hughes's adjusted Free Cash Flow per Share data for the three months ended in Mar. 2017 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Mar. 2017 (Change)*Current CPI (Mar. 2017)
=-0.584/102.8622*102.8622
=-0.584

Current CPI (Mar. 2017) = 102.8622.

Baker Hughes Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
200706 -0.061 87.906 -0.071
200709 0.745 87.964 0.871
200712 1.325 88.616 1.538
200803 0.030 90.090 0.034
200806 0.029 92.320 0.032
200809 0.386 92.307 0.430
200812 0.686 88.697 0.796
200903 -0.921 89.744 -1.056
200906 0.631 91.003 0.713
200909 0.531 91.120 0.599
200912 0.197 91.111 0.222
201003 -0.630 91.821 -0.706
201006 -0.553 91.962 -0.619
201009 -0.106 92.162 -0.118
201012 -0.464 92.474 -0.516
201103 -0.742 94.283 -0.810
201106 -0.524 95.235 -0.566
201109 -0.631 95.727 -0.678
201112 -0.026 95.213 -0.028
201203 -1.550 96.783 -1.647
201206 -1.243 96.819 -1.321
201209 0.175 97.633 0.184
201212 0.336 96.871 0.357
201303 -0.222 98.209 -0.233
201306 0.296 98.518 0.309
201309 1.180 98.790 1.229
201312 0.946 98.326 0.990
201403 -0.272 99.695 -0.281
201406 -0.063 100.560 -0.064
201409 1.354 100.428 1.387
201412 1.553 99.070 1.612
201503 -0.132 99.621 -0.136
201506 0.687 100.684 0.702
201509 0.554 100.392 0.568
201512 0.720 99.792 0.742
201603 -0.411 100.470 -0.421
201606 7.763 101.688 7.853
201609 0.111 101.861 0.112
201612 1.262 101.863 1.274
201703 -0.584 102.862 -0.584

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.


Baker Hughes  (XSWX:BHI) 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.


Baker Hughes Cyclically Adjusted Price-to-FCF Related Terms

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Baker Hughes (XSWX:BHI) Business Description

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Baker Hughes is one of the world's largest integrated oil services providers. Its largest end market is North America, and thus its fortunes are strongly leveraged to U.S. shale activity. By the end of 2017, the firm is set to combine with General Electric's oil and gas division, which is more leveraged to offshore developments, as well as nonupstream energy markets such as liquefied natural gas and refining.

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