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RWE AG (FRA:RWE) Cyclically Adjusted Price-to-FCF : 7.95 (As of Apr. 28, 2024)


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What is RWE AG Cyclically Adjusted Price-to-FCF?

As of today (2024-04-28), RWE AG's current share price is €32.36. RWE AG's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 was €4.07. RWE AG's Cyclically Adjusted Price-to-FCF for today is 7.95.

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

FRA:RWE' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 7.51   Med: 12.78   Max: 68.83
Current: 7.89

During the past years, RWE AG's highest Cyclically Adjusted Price-to-FCF was 68.83. The lowest was 7.51. And the median was 12.78.

FRA:RWE's Cyclically Adjusted Price-to-FCF is ranked better than
81.2% of 234 companies
in the Utilities - Regulated industry
Industry Median: 16.865 vs FRA:RWE: 7.89

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.

RWE AG's adjusted free cash flow per share data for the three months ended in Dec. 2023 was €1.514. 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 €4.07 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


RWE AG Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for RWE AG'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.

RWE AG Cyclically Adjusted Price-to-FCF Chart

RWE AG 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 35.59 21.09 11.90 11.16 10.10

RWE AG 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 11.16 9.71 9.65 9.31 10.10

Competitive Comparison of RWE AG's Cyclically Adjusted Price-to-FCF

For the Utilities - Diversified subindustry, RWE AG'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.


RWE AG's Cyclically Adjusted Price-to-FCF Distribution in the Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, RWE AG's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



RWE AG 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=32.36/4.07
=7.95

* 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.

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

For example, RWE AG'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)
=1.514/123.6675*123.6675
=1.514

Current CPI (Dec. 2023) = 123.6675.

RWE AG Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201403 -0.948 99.543 -1.178
201406 2.396 99.543 2.977
201409 3.608 99.823 4.470
201412 0.024 99.543 0.030
201503 -1.898 99.717 -2.354
201506 0.911 100.417 1.122
201509 1.285 100.417 1.583
201512 0.216 99.717 0.268
201603 -3.767 100.017 -4.658
201606 0.895 100.717 1.099
201609 1.775 101.017 2.173
201612 1.627 101.217 1.988
201703 -2.424 101.417 -2.956
201706 4.703 102.117 5.696
201709 -7.839 102.717 -9.438
201712 1.608 102.617 1.938
201803 0.304 102.917 0.365
201806 2.001 104.017 2.379
201809 5.046 104.718 5.959
201812 2.851 104.217 3.383
201903 -4.970 104.217 -5.898
201906 2.166 105.718 2.534
201909 -0.503 106.018 -0.587
201912 0.797 105.818 0.931
202003 -1.973 105.718 -2.308
202006 3.889 106.618 4.511
202009 0.986 105.818 1.152
202012 3.486 105.518 4.086
202103 2.360 107.518 2.714
202106 5.089 108.486 5.801
202109 -2.347 109.435 -2.652
202112 5.708 110.384 6.395
202203 3.975 113.968 4.313
202206 0.314 115.760 0.335
202209 -2.607 118.818 -2.713
202212 1.565 119.345 1.622
202303 1.191 122.402 1.203
202306 1.512 123.140 1.518
202309 1.474 124.195 1.468
202312 1.514 123.668 1.514

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.


RWE AG  (FRA:RWE) 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.


RWE AG Cyclically Adjusted Price-to-FCF Related Terms

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


RWE AG (FRA:RWE) Business Description

Industry
Address
RWE Platz 1, Essen, NW, DEU, 45141
Since the deal with E.On, RWE is refocused on power generation, mostly in Europe. It owns 38 gigawatts of power generation capacity: 28% from lignite and hard coal plants, 37% from gas plants, 40% from renewables including pumped storage and batteries. Besides Germany, RWE's power plants are chiefly located in the United Kingdom, the Netherlands, Turkey, and the United States for many onshore wind farms.

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