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Cisco Systems (FRA:CIS) Cyclically Adjusted Price-to-FCF : (As of May. 16, 2024)


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What is Cisco Systems Cyclically Adjusted Price-to-FCF?

Shiller PE for Stocks: The True Measure of Stock Valuation


Cisco Systems Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Cisco Systems'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.

Cisco Systems Cyclically Adjusted Price-to-FCF Chart

Cisco Systems Annual Data
Trend Jul14 Jul15 Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23
Cyclically Adjusted Price-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 22.77 18.00 18.97 14.03 14.79

Cisco Systems Quarterly Data
Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24
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 13.74 14.79 14.73 14.42 -

Competitive Comparison of Cisco Systems's Cyclically Adjusted Price-to-FCF

For the Communication Equipment subindustry, Cisco Systems'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.


Cisco Systems's Cyclically Adjusted Price-to-FCF Distribution in the Hardware Industry

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

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



Cisco Systems 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.

Cisco Systems's Cyclically Adjusted FCF per Share for the quarter that ended in Apr. 2024 is calculated as:

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

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Apr. 2024 (Change)*Current CPI (Apr. 2024)
=0.873/131.7762*131.7762
=0.873

Current CPI (Apr. 2024) = 131.7762.

Cisco Systems Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201407 0.468 100.520 0.614
201410 0.338 100.176 0.445
201501 0.437 98.604 0.584
201504 0.482 99.824 0.636
201507 0.678 100.691 0.887
201510 0.436 100.346 0.573
201601 0.652 99.957 0.860
201604 0.480 100.947 0.627
201607 0.634 101.524 0.823
201610 0.440 101.988 0.569
201701 0.657 102.456 0.845
201704 0.581 103.167 0.742
201707 0.654 103.278 0.834
201710 0.496 104.070 0.628
201801 0.643 104.578 0.810
201804 0.366 105.708 0.456
201807 0.686 106.324 0.850
201810 0.670 106.695 0.828
201901 0.688 106.200 0.854
201904 0.827 107.818 1.011
201907 0.777 108.250 0.946
201910 0.716 108.577 0.869
202001 0.764 108.841 0.925
202004 0.882 108.173 1.074
202007 0.737 109.318 0.888
202010 0.786 109.861 0.943
202101 0.540 110.364 0.645
202104 0.731 112.673 0.855
202107 0.868 115.183 0.993
202110 0.671 116.696 0.758
202201 0.494 118.619 0.549
202204 0.789 121.978 0.852
202207 0.837 125.002 0.882
202210 0.934 125.734 0.979
202301 1.030 126.223 1.075
202304 1.098 127.992 1.130
202307 1.268 128.974 1.296
202310 0.518 129.810 0.526
202401 0.144 130.124 0.146
202404 0.873 131.776 0.873

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.


Cisco Systems  (FRA:CIS) 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.


Cisco Systems Cyclically Adjusted Price-to-FCF Related Terms

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


Cisco Systems (FRA:CIS) Business Description

Industry
Address
170 West Tasman Drive, San Jose, CA, USA, 95134-1706
Cisco Systems is the largest provider of networking equipment in the world and one of the largest software companies in the world. Its largest businesses are selling networking hardware and software (where it has leading market shares) and cybersecurity software like firewalls. It also has collaboration products, like its Webex suite, and observability tools. It primarily outsources its manufacturing to third parties and has a large sales and marketing staff—25,000 strong across 90 countries. Overall, Cisco employees 80,000 employees and sells its products globally.

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