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News (ASX:NWS) Cyclically Adjusted Price-to-FCF : 23.56 (As of Apr. 28, 2024)


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What is News Cyclically Adjusted Price-to-FCF?

As of today (2024-04-28), News's current share price is A$38.40. News's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 was A$1.63. News's Cyclically Adjusted Price-to-FCF for today is 23.56.

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

ASX:NWS' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 14.81   Med: 21.64   Max: 34.13
Current: 22.87

During the past years, News's highest Cyclically Adjusted Price-to-FCF was 34.13. The lowest was 14.81. And the median was 21.64.

ASX:NWS's Cyclically Adjusted Price-to-FCF is ranked worse than
61.62% of 357 companies
in the Media - Diversified industry
Industry Median: 16.88 vs ASX:NWS: 22.87

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.

News's adjusted free cash flow per share data for the three months ended in Dec. 2023 was A$0.646. 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 A$1.63 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


News Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for News'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.

News Cyclically Adjusted Price-to-FCF Chart

News Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Cyclically Adjusted Price-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - 29.22 15.51 17.73

News Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 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 17.72 16.68 17.73 18.58 23.19

Competitive Comparison of News's Cyclically Adjusted Price-to-FCF

For the Entertainment subindustry, News'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.


News's Cyclically Adjusted Price-to-FCF Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, News's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



News 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=38.40/1.63
=23.56

* 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.

News's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 is calculated as:

For example, News's adjusted Free Cash Flow per Share data for the three months ended in Dec. 2023 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=0.646/129.4194*129.4194
=0.646

Current CPI (Dec. 2023) = 129.4194.

News Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201403 0.567 99.695 0.736
201406 0.206 100.560 0.265
201409 0.240 100.428 0.309
201412 0.557 99.070 0.728
201503 0.475 99.621 0.617
201506 -0.188 100.684 -0.242
201509 0.190 100.392 0.245
201512 0.351 99.792 0.455
201603 0.269 100.470 0.347
201606 0.647 101.688 0.823
201609 -0.726 101.861 -0.922
201612 0.499 101.863 0.634
201703 0.356 102.862 0.448
201706 0.425 103.349 0.532
201709 -0.142 104.136 -0.176
201712 0.319 104.011 0.397
201803 0.418 105.290 0.514
201806 0.293 106.317 0.357
201809 -0.047 106.507 -0.057
201812 0.271 105.998 0.331
201903 0.360 107.251 0.434
201906 0.273 108.070 0.327
201909 -0.225 108.329 -0.269
201912 0.111 108.420 0.132
202003 0.470 108.902 0.559
202006 0.529 108.767 0.629
202009 0.145 109.815 0.171
202012 0.556 109.897 0.655
202103 1.084 111.754 1.255
202106 0.088 114.631 0.099
202109 -0.081 115.734 -0.091
202112 0.599 117.630 0.659
202203 1.129 121.301 1.205
202206 0.343 125.017 0.355
202209 -0.347 125.227 -0.359
202212 0.203 125.222 0.210
202303 0.975 127.348 0.991
202306 0.706 128.729 0.710
202309 -0.485 129.860 -0.483
202312 0.646 129.419 0.646

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.


News  (ASX:NWS) 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.


News Cyclically Adjusted Price-to-FCF Related Terms

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


News (ASX:NWS) Business Description

Address
1211 Avenue of the Americas, New York, NY, USA, 10036
News Corporation is a diversified media conglomerate with significant presence in the U.S, the U.K., and Australia. Key mastheads include The Wall Street Journal, Herald Sun, and The Times. The company also has a strong presence in the Australian pay-TV market through Fox Sports and Foxtel (both 65%-owned), while its 61%-owned REA Group is the dominant real estate classified business in Australia. In addition, it owns HarperCollins, one of the largest book publishers in the world, and also has a substantial digital property advertising business (Move) in the U.S.

News (ASX:NWS) Headlines