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Nordstrom (Nordstrom) Cyclically Adjusted FCF per Share : $2.84 (As of Jan. 2024)


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What is Nordstrom Cyclically Adjusted FCF per Share?

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted FCF per Share and 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.

Nordstrom's adjusted free cash flow per share for the three months ended in Jan. 2024 was $1.892. Add all the adjusted free cash flow per share for the past 10 years together and divide the count will get our Cyclically Adjusted FCF per Share, which is $2.84 for the trailing ten years ended in Jan. 2024.

During the past 12 months, Nordstrom's average Cyclically Adjusted FCF Growth Rate was -7.80% per year. During the past 3 years, the average Cyclically Adjusted FCF Growth Rate was -2.20% per year. During the past 5 years, the average Cyclically Adjusted FCF Growth Rate was -6.90% per year. During the past 10 years, the average Cyclically Adjusted FCF Growth Rate was 1.40% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Cyclically Adjusted FCF Growth Rate using Cyclically Adjusted FCF per Share data.

During the past 13 years, the highest 3-Year average Cyclically Adjusted FCF Growth Rate of Nordstrom was 66.50% per year. The lowest was -28.30% per year. And the median was 10.20% per year.

As of today (2024-04-27), Nordstrom's current stock price is $19.13. Nordstrom's Cyclically Adjusted FCF per Share for the quarter that ended in Jan. 2024 was $2.84. Nordstrom's Cyclically Adjusted Price-to-FCF of today is 6.74.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of Nordstrom was 33.19. The lowest was 3.36. And the median was 12.45.


Nordstrom Cyclically Adjusted FCF per Share Historical Data

The historical data trend for Nordstrom's Cyclically Adjusted FCF per Share 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.

Nordstrom Cyclically Adjusted FCF per Share Chart

Nordstrom Annual Data
Trend Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
Cyclically Adjusted FCF per Share
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.88 3.04 2.98 3.08 2.84

Nordstrom Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
Cyclically Adjusted FCF per Share 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 3.08 3.06 3.22 2.94 2.84

Competitive Comparison of Nordstrom's Cyclically Adjusted FCF per Share

For the Department Stores subindustry, Nordstrom'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.


Nordstrom's Cyclically Adjusted Price-to-FCF Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Nordstrom's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Nordstrom Cyclically Adjusted FCF per Share Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted FCF per Share and 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.

What is Cyclically Adjusted FCF per Share? How do we calculate Cyclically Adjusted FCF per Share?

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. Let's use an example to explain.

If we want to calculate the Cyclically Adjusted FCF per Share of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the free cash flow per share from 2001 through 2010.

We adjusted the 2001 free cash flow per share data with the total inflation from 2001 through 2010 to the equivalent free cash flow in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart's free cash flow is $1 a share in 2001, then the 2001's equivalent free cash flow in 2010 is $1.4 a share. If Wal-Mart's free cash flow is $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 free cash flow in 2010 is $1.35. So on and so forth, you get the equivalent free cash flow per share of past 10 years. Then you add them together and divided the sum by the count to get 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.

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

Adj_FreeCashFlowPerShare= Free Cash Flow per Share /CPI of Jan. 2024 (Change)*Current CPI (Jan. 2024)
=1.892/129.4194*129.4194
=1.892

Current CPI (Jan. 2024) = 129.4194.

Nordstrom Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201404 0.223 100.023 0.289
201407 -0.259 100.520 -0.333
201410 -0.478 100.176 -0.618
201501 2.364 98.604 3.103
201504 -0.262 99.824 -0.340
201507 -0.284 100.691 -0.365
201510 5.196 100.346 6.701
201601 2.765 99.957 3.580
201604 -0.165 100.947 -0.212
201607 2.735 101.524 3.487
201610 -1.130 101.988 -1.434
201701 3.183 102.456 4.021
201704 -0.378 103.167 -0.474
201707 1.763 103.278 2.209
201710 -1.019 104.070 -1.267
201801 3.593 104.578 4.446
201804 -0.922 105.708 -1.129
201807 2.830 106.324 3.445
201810 -0.650 106.695 -0.788
201901 2.569 106.200 3.131
201904 -1.793 107.818 -2.152
201907 3.162 108.250 3.780
201910 -2.465 108.577 -2.938
202001 3.019 108.841 3.590
202004 -5.812 108.173 -6.954
202007 0.573 109.318 0.678
202010 0.455 109.861 0.536
202101 0.089 110.364 0.104
202104 -3.091 112.673 -3.550
202107 5.025 115.183 5.646
202110 -2.535 116.696 -2.811
202201 1.633 118.619 1.782
202204 0.559 121.978 0.593
202207 0.411 125.002 0.426
202210 -1.524 125.734 -1.569
202301 3.455 126.223 3.542
202304 -0.560 127.992 -0.566
202307 2.022 128.974 2.029
202310 -3.105 129.810 -3.096
202401 1.892 129.419 1.892

Add all the adjusted free cash flow per share together and divide 10 will get our Cyclically Adjusted FCF per Share.


Nordstrom  (NYSE:JWN) Cyclically Adjusted FCF per Share Explanation

If a company grows much fast than inflation, Cyclically Adjusted FCF per Share may underestimate the company's free cash flow. Cyclically Adjusted Price-to-FCF can seem to be too high even the actual Price-to-Free-Cash-Flow is low.

For the Cyclically Adjusted Price-to-FCF, the free cash flow per share of the past 10 years are inflation-adjusted and averaged. The result is used for P/FCF calculation. Since it looks at the average over the last 10 years, the Cyclically Adjusted Price-to-FCF is also called CAPFCF Ratio.

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.

Nordstrom's Cyclically Adjusted Price-to-FCF of today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/Cyclically Adjusted FCF per Share
=19.13/2.84
=6.74

* 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.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of Nordstrom was 33.19. The lowest was 3.36. And the median was 12.45.


Be Aware

Cyclically Adjusted Price-to-FCF works better for cyclical companies. It gives you a better idea on the company's real free cash flow value.


Nordstrom Cyclically Adjusted FCF per Share Related Terms

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


Nordstrom (Nordstrom) Business Description

Industry
Traded in Other Exchanges
Address
1617 Sixth Avenue, Seattle, WA, USA, 98101
Nordstrom is a fashion retailer that operates about 93 department stores and approximately 260 off-price Nordstrom Rack stores. The company also operates both full- and off-price e-commerce sites, two clearance stores, and seven Local locations. Nordstrom's largest merchandise categories are women's apparel (28% of 2022 sales), shoes (26% of 2022 sales), men's apparel (15% of 2022 sales), and women's accessories (13% of 2022 sales). Nordstrom, which traces its history to a shoe store opened in Seattle in 1901, continues to be partially owned and managed by members of the eponymous family.
Executives
Gemma Lionello officer: Executive Vice President C/O NORDSTROM, INC., 1617 SIXTH AVENUE, SEATTLE WA 98101
Guy Persaud director C/O NORDSTROM, INC., 1617 SIXTH AVENUE, SEATTLE WA 98101
Fanya Chandler officer: President, Nordstrom Stores C/O NORDSTROM, INC., 1617 SIXTH AVENUE, SEATTLE WA 98101
Teri Bariquit officer: Executive Vice President C/O NORDSTROM, INC., 1617 SIXTH AVENUE, SEATTLE WA 98101
Cathy R Smith officer: Chief Financial Officer TARGET CORPORATION, 1000 NICOLLET MALL, TPS-3155, MINNEAPOLIS MN 55403
Jason Morris officer: CTIO C/O NORDSTROM, INC., 1617 SIXTH AVENUE, SEATLE WA 98101
Eric D Sprunk director ONE BOWERMAN DRIVE, BEAVERTON OR 97005
Ken Worzel officer: Executive Vice President C/O NORDSTROM, INC., 1617 SIXTH AVENUE, SEATTLE WA 98101
Atticus Nathaniel Tysen director C/O NORDSTROM, INC., 1617 SIXTH AVENUE, SEATTLE WA 98101
Anne L Bramman officer: Chief Financial Officer 207 GOODE AVENUE, GLENDALE CA 91203
Amie Thuener O'toole director C/O ALPHABET INC., 1600 AMPHITHEATRE PKWY, MOUNTAIN VIEW CA 94043
Peter E Nordstrom officer: Executive Vice President C/O NORDSTROM INC, 1617 SIXTH AVE, SEATTLE WA 98101
Bradley D Tilden director NORDSTROM, INC. ATTN: CORP. SEC., 1617 SIXTH AVENUE, SEATTLE WA 98101
Farrell B. Redwine officer: Chief Human Resources Officer C/O NORDSTROM, INC., 1617 SIXTH AVENUE, SEATTLE WA 98101
Geevy Sk Thomas officer: Executive Vice President C/O NORDSTROM INC, 5820 GLADES ROAD, BOCA RATON FL 33431