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Shell (BUE:SHEL) Cyclically Adjusted Price-to-FCF : 13.75 (As of Apr. 29, 2024)


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What is Shell Cyclically Adjusted Price-to-FCF?

As of today (2024-04-29), Shell's current share price is ARS39874.50. Shell's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 was ARS2,899.59. Shell's Cyclically Adjusted Price-to-FCF for today is 13.75.

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

BUE:SHEL' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 7.53   Med: 25.4   Max: 46.83
Current: 12.39

During the past years, Shell's highest Cyclically Adjusted Price-to-FCF was 46.83. The lowest was 7.53. And the median was 25.40.

BUE:SHEL's Cyclically Adjusted Price-to-FCF is ranked better than
56.6% of 394 companies
in the Oil & Gas industry
Industry Median: 14.36 vs BUE:SHEL: 12.39

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.

Shell's adjusted free cash flow per share data for the three months ended in Dec. 2023 was ARS305.449. 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 ARS2,899.59 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


Shell Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Shell'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.

Shell Cyclically Adjusted Price-to-FCF Chart

Shell 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 20.74 10.31 11.27 12.16 10.98

Shell 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 12.16 11.66 11.18 12.01 10.98

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

For the Oil & Gas Integrated subindustry, Shell'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.


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

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

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



Shell 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=39874.50/2899.59
=13.75

* 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.

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

For example, Shell'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)
=305.449/130.0000*130.0000
=305.449

Current CPI (Dec. 2023) = 130.0000.

Shell Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201403 8.609 99.300 11.271
201406 0.944 99.800 1.230
201409 6.683 100.000 8.688
201412 1.054 99.900 1.372
201503 1.232 99.600 1.608
201506 -0.221 100.100 -0.287
201509 7.083 100.200 9.190
201512 -3.784 100.400 -4.900
201603 -9.418 100.400 -12.195
201606 -6.083 101.000 -7.830
201609 5.906 101.500 7.564
201612 6.706 102.200 8.530
201703 9.753 102.700 12.346
201706 11.184 103.500 14.048
201709 5.397 104.300 6.727
201712 3.232 105.000 4.002
201803 11.264 105.100 13.933
201806 12.580 105.900 15.443
201809 27.719 106.600 33.804
201812 67.656 107.100 82.122
201903 16.706 107.000 20.297
201906 32.226 107.900 38.827
201909 43.395 108.400 52.042
201912 26.725 108.500 32.021
202003 84.042 108.600 100.603
202006 -7.672 108.800 -9.167
202009 63.806 109.200 75.960
202012 11.301 109.400 13.429
202103 50.708 109.700 60.092
202106 101.368 111.400 118.293
202109 143.111 112.400 165.520
202112 25.210 114.700 28.573
202203 148.243 116.500 165.421
202206 191.702 120.500 206.815
202209 137.619 122.300 146.283
202212 376.208 125.300 390.320
202303 226.294 126.800 232.005
202306 368.218 129.400 369.925
202309 367.420 130.100 367.138
202312 305.449 130.000 305.449

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.


Shell  (BUE:SHEL) 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.


Shell Cyclically Adjusted Price-to-FCF Related Terms

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


Shell (BUE:SHEL) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Energy » Oil & Gas » Shell PLC (BUE:SHEL) » Definitions » Cyclically Adjusted Price-to-FCF
Address
Shell Centre, London, GBR, SE1 7NA
Shell is an integrated oil and gas company that explores for, produces, and refines oil around the world. In 2022, it produced 1.5 million barrels of liquids and 7.9 billion cubic feet of natural gas per day. At year-end 2022, reserves stood at 9.4 billion barrels of oil equivalent, 50% of which consisted of liquids. Its production and reserves are in Europe, Asia, Oceania, Africa, and North and South America. The company operates refineries with capacity of 1.7 mmb/d located in the Americas, Asia, Africa, and Europe and sells 12 million tons per year of chemicals. Its largest chemical plants, often integrated with its local refineries, are in Central Europe, China, Singapore, and North America.

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