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AEYE (AudioEye) Free Cash Flow : $0.79 Mil (TTM As of Dec. 2024)


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What is AudioEye Free Cash Flow?

AudioEye's total free cash flow for the months ended in Dec. 2024 was $0.10 Mil. Its total free cash flow for the trailing twelve months (TTM) ended in Dec. 2024 was $0.79 Mil.

AudioEye's Free Cash Flow per Share for the months ended in Dec. 2024 was $0.01. Its free cash flow per share for the trailing twelve months (TTM) ended in Dec. 2024 was $0.07.

Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Free Cash Flow Growth Rate using Free Cash Flow per Share data.

During the past 13 years, AudioEye's highest 3-Year average Free Cash Flow per Share Growth Rate was 44.80% per year. The lowest was -115.70% per year. And the median was 8.65% per year.


AudioEye Free Cash Flow Historical Data

The historical data trend for AudioEye's Free Cash Flow 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.

AudioEye Free Cash Flow Chart

AudioEye Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Free Cash Flow
Get a 7-Day Free Trial Premium Member Only Premium Member Only -3.20 -6.55 -6.25 -1.84 0.79

AudioEye Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
Free Cash Flow 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 0.33 -0.34 -0.08 1.11 0.10

AudioEye Free Cash Flow Calculation

Free Cash Flow is considered one of the most important parameters to measure a company's earnings power by value investors because it is not subject to estimates of Depreciation, Depletion and Amortization (DDA). However, when we look at the Free Cash Flow, we should look from a long term perspective, because any year's Free Cash Flow can be drastically affected by the spending on Property, Plant, & Equipment (PPE) of the business in that year. Over the long term, Free Cash Flow should give pretty good picture on the real earnings power of the company.

AudioEye's Free Cash Flow for the fiscal year that ended in Dec. 2024 is calculated as

Free Cash Flow (A: Dec. 2024 )=Cash Flow from Operations+Capital Expenditure
=2.731+-1.941
=0.79

AudioEye's Free Cash Flow for the quarter that ended in Dec. 2024 is calculated as

Free Cash Flow (Q: Dec. 2024 )=Cash Flow from Operations+Capital Expenditure
=0.565+-0.461
=0.10

Free Cash Flow for the trailing twelve months (TTM) ended in Dec. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $0.79 Mil.

* 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.


AudioEye  (NAS:AEYE) Free Cash Flow Explanation

Free Cash Flow is very close to Warren Buffett's definition of Owner's Earnings, except that in Warren Buffett's Owner's Earnings, the spending for Property, Plant, and Equipment is only for maintenance (replacement), while in the Free Cash Flow calculation, the cost of new Property, Plant, and Equipment due to business expansion is also deducted. There, Free Cash Flow is more conservative than Owner's Earnings.

In Don Yacktman's calculation of forward rate of return, he uses Free Cash Flow for the calculation. Yacktman explained the forward rate of return concept in detail in his interview with GuruFocus. Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation.

This is what Yacktman said in his March 2012 interview - when the S&P 500 was at 1400:

If the business is stable, this calculation is fairly straightforward. For instance, on the S&P 500 we would normalize earnings. We would then calculate what percentage of those earnings are not reinvested in the underlying businesses and are therefore free. Historically, for the S&P 500, this has been just under 50% of earnings. Currently, we expect the S&P to earn about 70 on a normalized basis, a number which is far below reported earnings due to our adjusting for record high profit margins. $70 X ½ / 1400 gives you a normalized free cash flow yield of approximately 2.5%.

The historical real growth rate of the S&P 500 (companies) is about 1.5%. Assuming an inflation rate of 2.5%, the forward rate of return on an investment in the S&P 500 is about 6.5% today (2.5% free cash flow yield plus 1.5% real growth plus 2.5% inflation).

For the growth part of the Forward Rate of Return calculation, GuruFocus uses the 5-year average growth rate of EBITDA per share as the growth rate, and the growth rate is always capped at 20%. For the Free Cash Flow we use per share data averaged over seven years. The reason we use seven years is because research shows that seven years is the length of the typical business cycle.

Therefore, as of Dec24, AudioEye's Forward Rate of Return (Yacktman) % is

Forward Rate of Return (Yacktman) % (Dec24)=Normalized Free Cash Flow/Price+5-Year EBITDA Growth Rate
=0/15.21+0
=0.00 %

* 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.


Be Aware

Free Cash Flow within a report period can be affected by management's decisions of capital spending. Therefore, it is important to look at long term when it comes to Free Cash Flow.


AudioEye Free Cash Flow Related Terms

Thank you for viewing the detailed overview of AudioEye's Free Cash Flow provided by GuruFocus.com. Please click on the following links to see related term pages.


AudioEye Business Description

Traded in Other Exchanges
N/A
Address
5210 East Williams Circle, Suite 750, Tucson, AZ, USA, 85711
AudioEye Inc is a software solution provider delivering immediate ADA and WCAG accessibility compliance at scale. Through patented technology, subject matter expertise and proprietary processes, it is eradicating all barriers to digital accessibility, helping creators get accessible and supporting them with ongoing advisory and automated upkeep. Trusted by the ADP, Tommy Hilfiger, A360 Media, Samsung, Landry's, and others. It helps everyone identify and resolve issues of accessibility and enhance user experiences, automating digital accessibility for the widest audiences.
Executives
Jamil A. Tahir director 5210 E. WILLIAMS CIRCLE, SUITE 750, TUCSON AZ 85711
Carr Bettis director, 10 percent owner, officer: Exec Chrmn/Chrmn of the Board 9070 S. RITA ROAD, SUITE 1450, TUCSON AZ 85747
David Moradi 10 percent owner 379 WEST BROADWAY, NEW YORK NY 10021
Kelly Georgevich officer: Chief Financial Officer 5210 E. WILLIAMS CIRCLE, SUITE 750, TUCSON AZ 85711
Katherine E. Fleming director ONE MIFFLIN PLACE, 119 MT. AUBURN STREET, SUITE 400, CAMBRIDGE MA 02138
Christopher Hundley officer: President C/O AUDIOEYE,INC., 5210 E. WILLIAMS CIRCLE, SUITE 750, TUSCON AZ 85711
Dominic Peter Varacalli officer: President 930 NW 12TH AVE, UNIT 228, PORTLAND OR 97209
Marc Lehmann director 5210 E. WILLIAMS CIRCLE, SUITE 750, TUCSON AZ 85711
Anthony L Coelho director 5210 E. WILLIAMS CIRCLE, SUITE 750, TUCSON AZ 85711
Sero Capital Llc 10 percent owner 1333 2ND STREET, 3RD FLOOR, SANTA MONICA CA 90401
Alexandre Zyngier director 5700 W. PLANO PARKWAY, SUITE 3600, PLANO TX 75093
Lonny Sternberg officer: Chief Operating Officer C/O AUDIOEYE, INC., 5210 E. WILLIAMS CIRCLE, SUITE 750, TUCSON AZ 85711
Heath Thompson officer: Chief Executive Officer C/O AUDIOEYE, INC., 5210 E. WILLIAMS CIRCLE, SUITE 750, TUCSON AZ 85711
Sean D. Bradley officer: President and CSO 9070 S. RITA ROAD, SUITE 1450, TUCSON AZ 85747
Sachin Barot officer: Chief Financial Officer C/O AUDIOEYE, INC., 5210 E. WILLIAMS CIRCLE, SUITE 750, TUCSON AZ 85711