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T. Rowe Price Group (BSP:T1RO34) Cyclically Adjusted Price-to-FCF : 18.80 (As of May. 15, 2024)


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What is T. Rowe Price Group Cyclically Adjusted Price-to-FCF?

As of today (2024-05-15), T. Rowe Price Group's current share price is R$292.88. T. Rowe Price Group's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was R$15.58. T. Rowe Price Group's Cyclically Adjusted Price-to-FCF for today is 18.80.

The historical rank and industry rank for T. Rowe Price Group's Cyclically Adjusted Price-to-FCF or its related term are showing as below:

BSP:T1RO34' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 13.25   Med: 28.73   Max: 45.53
Current: 17.51

During the past years, T. Rowe Price Group's highest Cyclically Adjusted Price-to-FCF was 45.53. The lowest was 13.25. And the median was 28.73.

BSP:T1RO34's Cyclically Adjusted Price-to-FCF is ranked better than
54.96% of 504 companies
in the Asset Management industry
Industry Median: 20.705 vs BSP:T1RO34: 17.51

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.

T. Rowe Price Group's adjusted free cash flow per share data for the three months ended in Mar. 2024 was R$5.939. 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$15.58 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


T. Rowe Price Group Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for T. Rowe Price Group'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.

T. Rowe Price Group Cyclically Adjusted Price-to-FCF Chart

T. Rowe Price Group 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 32.80 35.81 35.39 16.91 16.53

T. Rowe Price Group Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 17.25 16.88 15.73 16.53 18.67

Competitive Comparison of T. Rowe Price Group's Cyclically Adjusted Price-to-FCF

For the Asset Management subindustry, T. Rowe Price Group'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.


T. Rowe Price Group's Cyclically Adjusted Price-to-FCF Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, T. Rowe Price Group's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

* The bar in red indicates where T. Rowe Price Group's Cyclically Adjusted Price-to-FCF falls into.



T. Rowe Price Group 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.

T. Rowe Price Group's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=292.88/15.58
=18.80

* 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.

T. Rowe Price Group's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, T. Rowe Price Group's adjusted Free Cash Flow per Share data for the three months ended in Mar. 2024 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=5.939/129.4194*129.4194
=5.939

Current CPI (Mar. 2024) = 129.4194.

T. Rowe Price Group Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 0.850 100.560 1.094
201409 2.044 100.428 2.634
201412 0.420 99.070 0.549
201503 2.971 99.621 3.860
201506 1.789 100.684 2.300
201509 3.564 100.392 4.595
201512 0.763 99.792 0.990
201603 0.274 100.470 0.353
201606 -0.886 101.688 -1.128
201609 1.620 101.861 2.058
201612 -0.907 101.863 -1.152
201703 0.902 102.862 1.135
201706 -0.576 103.349 -0.721
201709 1.071 104.136 1.331
201712 -1.200 104.011 -1.493
201803 3.179 105.290 3.908
201806 2.792 106.317 3.399
201809 4.268 106.507 5.186
201812 0.691 105.998 0.844
201903 4.256 107.251 5.136
201906 2.606 108.070 3.121
201909 4.302 108.329 5.140
201912 -0.291 108.420 -0.347
202003 7.652 108.902 9.094
202006 8.972 108.767 10.676
202009 2.661 109.815 3.136
202012 -0.642 109.897 -0.756
202103 11.465 111.754 13.277
202106 8.165 114.631 9.218
202109 14.192 115.734 15.870
202112 3.748 117.630 4.124
202203 11.353 121.301 12.113
202206 6.154 125.017 6.371
202209 8.263 125.227 8.540
202212 -2.286 125.222 -2.363
202303 5.216 127.348 5.301
202306 3.482 128.729 3.501
202309 4.135 129.860 4.121
202312 -2.618 129.419 -2.618
202403 5.939 129.419 5.939

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.


T. Rowe Price Group  (BSP:T1RO34) 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.


T. Rowe Price Group Cyclically Adjusted Price-to-FCF Related Terms

Thank you for viewing the detailed overview of T. Rowe Price Group's Cyclically Adjusted Price-to-FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


T. Rowe Price Group (BSP:T1RO34) Business Description

Address
100 East Pratt Street, Baltimore, MD, USA, 21202
T. Rowe Price provides asset-management services for individual and institutional investors. It offers a broad range of no-load U.S. and international stock, hybrid, bond, and money market funds. At the end of October 2023, the firm had $1.312 trillion in managed assets, composed of equity (51%), balanced (33%), fixed-income and money market (13%), and alternatives (3%) offerings. Approximately two thirds of the company's managed assets are held in retirement-based accounts, which provides T. Rowe Price with a somewhat stickier client base than most of its peers. The firm also manages private accounts, provides retirement planning advice, and offers discount brokerage and trust services. The company is primarily a U.S.-based asset manager, deriving just over 9% of its AUM from overseas.

T. Rowe Price Group (BSP:T1RO34) Headlines

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