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CDW (BSP:C1DW34) Cyclically Adjusted Price-to-FCF : 41.93 (As of Apr. 29, 2024)


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What is CDW Cyclically Adjusted Price-to-FCF?

As of today (2024-04-29), CDW's current share price is R$62.90. CDW's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 was R$1.50. CDW's Cyclically Adjusted Price-to-FCF for today is 41.93.

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

BSP:C1DW34' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 6.97   Med: 31.43   Max: 51.97
Current: 39.29

During the past years, CDW's highest Cyclically Adjusted Price-to-FCF was 51.97. The lowest was 6.97. And the median was 31.43.

BSP:C1DW34's Cyclically Adjusted Price-to-FCF is ranked worse than
59.02% of 671 companies
in the Software industry
Industry Median: 28.01 vs BSP:C1DW34: 39.29

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.

CDW's adjusted free cash flow per share data for the three months ended in Dec. 2023 was R$0.906. 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 R$1.50 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


CDW Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for CDW'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.

CDW Cyclically Adjusted Price-to-FCF Chart

CDW 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 44.96 35.78 47.91 34.36 36.87

CDW 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 34.36 36.42 33.01 34.79 36.87

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

For the Information Technology Services subindustry, CDW'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.


CDW's Cyclically Adjusted Price-to-FCF Distribution in the Software Industry

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

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



CDW 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=62.90/1.5
=41.93

* 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.

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

For example, CDW'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)
=0.906/129.4194*129.4194
=0.906

Current CPI (Dec. 2023) = 129.4194.

CDW Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201403 0.160 99.695 0.208
201406 -0.053 100.560 -0.068
201409 0.109 100.428 0.140
201412 0.049 99.070 0.064
201503 0.152 99.621 0.197
201506 -0.083 100.684 -0.107
201509 0.199 100.392 0.257
201512 -0.072 99.792 -0.093
201603 0.456 100.470 0.587
201606 -0.133 101.688 -0.169
201609 0.168 101.861 0.213
201612 0.085 101.863 0.108
201703 0.336 102.862 0.423
201706 -0.011 103.349 -0.014
201709 0.041 104.136 0.051
201712 0.336 104.011 0.418
201803 0.218 105.290 0.268
201806 0.113 106.317 0.138
201809 0.334 106.507 0.406
201812 0.346 105.998 0.422
201903 0.300 107.251 0.362
201906 0.179 108.070 0.214
201909 0.331 108.329 0.395
201912 0.257 108.420 0.307
202003 0.333 108.902 0.396
202006 0.392 108.767 0.466
202009 0.352 109.815 0.415
202012 0.978 109.897 1.152
202103 0.638 111.754 0.739
202106 -0.031 114.631 -0.035
202109 0.500 115.734 0.559
202112 0.234 117.630 0.257
202203 0.618 121.301 0.659
202206 0.660 125.017 0.683
202209 0.572 125.227 0.591
202212 0.404 125.222 0.418
202303 0.633 127.348 0.643
202306 0.336 128.729 0.338
202309 0.773 129.860 0.770
202312 0.906 129.419 0.906

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.


CDW  (BSP:C1DW34) 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.


CDW Cyclically Adjusted Price-to-FCF Related Terms

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


CDW (BSP:C1DW34) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Technology » Software » CDW Corp (BSP:C1DW34) » Definitions » Cyclically Adjusted Price-to-FCF
Traded in Other Exchanges
Address
75 Tri-State International, Lincolnshire, Chicago, IL, USA, 60069
CDW Corp is a value-added reseller operating in the U.S. (95% of sales) and Canada (5%). The company has more than 100,000 products on its line of cards that range from notebooks to data center software. Roughly half of CDW's revenue comes from midsize and large businesses, with the remaining from small businesses, government agencies, education institutions, and health-care organizations.

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