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CNH Industrial NV (WBO:CNHI) Cyclically Adjusted Price-to-FCF : 19.36 (As of Apr. 28, 2024)


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What is CNH Industrial NV Cyclically Adjusted Price-to-FCF?

As of today (2024-04-28), CNH Industrial NV's current share price is €10.455. CNH Industrial NV's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 was €0.54. CNH Industrial NV's Cyclically Adjusted Price-to-FCF for today is 19.36.

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

WBO:CNHI' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 15.32   Med: 27.42   Max: 50.55
Current: 19.19

During the past years, CNH Industrial NV's highest Cyclically Adjusted Price-to-FCF was 50.55. The lowest was 15.32. And the median was 27.42.

WBO:CNHI's Cyclically Adjusted Price-to-FCF is ranked better than
68.69% of 99 companies
in the Farm & Heavy Construction Machinery industry
Industry Median: 26.88 vs WBO:CNHI: 19.19

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.

CNH Industrial NV's adjusted free cash flow per share data for the three months ended in Dec. 2023 was €0.759. 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 €0.54 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


CNH Industrial NV Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for CNH Industrial NV'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.

CNH Industrial NV Cyclically Adjusted Price-to-FCF Chart

CNH Industrial NV 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 - - - 34.36 20.53

CNH Industrial NV 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 28.92 23.07 18.55 20.53

Competitive Comparison of CNH Industrial NV's Cyclically Adjusted Price-to-FCF

For the Farm & Heavy Construction Machinery subindustry, CNH Industrial NV'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.


CNH Industrial NV's Cyclically Adjusted Price-to-FCF Distribution in the Farm & Heavy Construction Machinery Industry

For the Farm & Heavy Construction Machinery industry and Industrials sector, CNH Industrial NV's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



CNH Industrial NV 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.

CNH Industrial NV's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=10.455/0.54
=19.36

* 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.

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

For example, CNH Industrial NV'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)
=0.759/130.0000*130.0000
=0.759

Current CPI (Dec. 2023) = 130.0000.

CNH Industrial NV Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201403 -1.263 99.300 -1.653
201406 -0.180 99.800 -0.234
201409 -0.344 100.000 -0.447
201412 0.688 99.900 0.895
201503 -0.728 99.600 -0.950
201506 0.266 100.100 0.345
201509 0.003 100.200 0.004
201512 0.633 100.400 0.820
201603 -0.257 100.400 -0.333
201606 0.018 101.000 0.023
201609 0.067 101.500 0.086
201612 0.623 102.200 0.792
201703 -0.310 102.700 -0.392
201706 0.053 103.500 0.067
201709 0.196 104.300 0.244
201712 0.422 105.000 0.522
201803 -0.261 105.100 -0.323
201806 0.262 105.900 0.322
201809 -0.020 106.600 -0.024
201812 0.458 107.100 0.556
201903 -0.728 107.000 -0.884
201906 -0.127 107.900 -0.153
201909 -0.069 108.400 -0.083
201912 0.851 108.500 1.020
202003 -0.570 108.600 -0.682
202006 0.507 108.800 0.606
202009 1.164 109.200 1.386
202012 1.771 109.400 2.104
202103 0.129 109.700 0.153
202106 0.501 111.400 0.585
202109 0.195 112.400 0.226
202112 1.180 114.700 1.337
202203 -0.709 116.500 -0.791
202206 -0.337 120.500 -0.364
202209 0.037 122.300 0.039
202212 0.728 125.300 0.755
202303 -0.617 126.800 -0.633
202306 -0.275 129.400 -0.276
202309 -0.064 130.100 -0.064
202312 0.759 130.000 0.759

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.


CNH Industrial NV  (WBO:CNHI) 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.


CNH Industrial NV Cyclically Adjusted Price-to-FCF Related Terms

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


CNH Industrial NV (WBO:CNHI) Business Description

Traded in Other Exchanges
Address
25 St. James's Street, London, GBR, SW1A 1HA
CNH Industrial is a global manufacturer of heavy machinery, with a range of products including agricultural and construction equipment. One of its most recognizable brands, Case IH, has served farmers for generations. The company's products are available through a robust dealer network, which includes over 3,600 dealer and distribution locations globally. CNH's finance arm provides retail financing for equipment to its customers in addition to wholesale financing for dealers, which increases the likelihood of product sales.