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Aetna (AET) Cyclically Adjusted Price-to-FCF : (As of May. 05, 2024)


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What is Aetna Cyclically Adjusted Price-to-FCF?

Shiller PE for Stocks: The True Measure of Stock Valuation


Aetna Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Aetna'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.

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Aetna Cyclically Adjusted Price-to-FCF Chart

Aetna Annual Data
Trend Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17
Cyclically Adjusted Price-to-FCF
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Aetna Quarterly Data
Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18
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Competitive Comparison of Aetna's Cyclically Adjusted Price-to-FCF

For the Healthcare Plans subindustry, Aetna'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.


Aetna's Cyclically Adjusted Price-to-FCF Distribution in the Healthcare Plans Industry

For the Healthcare Plans industry and Healthcare sector, Aetna's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Aetna 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.

Aetna's Cyclically Adjusted FCF per Share for the quarter that ended in Sep. 2018 is calculated as:

For example, Aetna's adjusted Free Cash Flow per Share data for the three months ended in Sep. 2018 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Sep. 2018 (Change)*Current CPI (Sep. 2018)
=-2.474/106.5067*106.5067
=-2.474

Current CPI (Sep. 2018) = 106.5067.

Aetna Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
200812 0.667 88.697 0.801
200903 1.598 89.744 1.896
200906 0.046 91.003 0.054
200909 1.885 91.120 2.203
200912 1.200 91.111 1.403
201003 1.735 91.821 2.012
201006 -0.354 91.962 -0.410
201009 0.046 92.162 0.053
201012 1.225 92.474 1.411
201103 1.303 94.283 1.472
201106 0.645 95.235 0.721
201109 2.726 95.727 3.033
201112 0.964 95.213 1.078
201203 2.669 96.783 2.937
201206 0.032 96.819 0.035
201209 0.178 97.633 0.194
201212 1.357 96.871 1.492
201303 1.384 98.209 1.501
201306 -0.173 98.518 -0.187
201309 2.473 98.790 2.666
201312 1.287 98.326 1.394
201403 3.639 99.695 3.888
201406 1.592 100.560 1.686
201409 2.566 100.428 2.721
201412 0.523 99.070 0.562
201503 3.944 99.621 4.217
201506 0.426 100.684 0.451
201509 2.631 100.392 2.791
201512 2.931 99.792 3.128
201603 4.907 100.470 5.202
201606 0.974 101.688 1.020
201609 6.613 101.861 6.915
201612 -2.747 101.863 -2.872
201703 2.408 102.862 2.493
201706 -0.945 103.349 -0.974
201709 4.250 104.136 4.347
201712 -8.499 104.011 -8.703
201803 9.836 105.290 9.950
201806 2.802 106.317 2.807
201809 -2.474 106.507 -2.474

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.


Aetna  (NYSE:AET) 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.


Aetna Cyclically Adjusted Price-to-FCF Related Terms

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


Aetna (AET) Business Description

Industry
Traded in Other Exchanges
N/A
Address
Aetna is one of the largest managed-care organizations in the U.S., with over 22 million medical members. This large member count helps the firm diversify its operating risk and has formed the basis for material competitive advantages. The firm provides health insurance services to its members through products that encompass every major insurance market--individual, group, and government sponsored. Aetna and CVS recently announced their intention to merge operations, and if approved, it would form one of the most powerful players within the healthcare space.
Executives
Fernando Aguirre director CHIQUITA BRANDS INTERNATIONAL, 250 EAST FIFTH STREET, CINCINNATI OH 45202
Harold L Paz officer: EVP & Chief Medical Officer AETNA INC., 151 FARMINGTON AVENUE, HARTFORD CT 06156
Molly Joel Coye director AETNA INC, 151 FARMINGTON AVENUE, HARTFORD CT 06156
Jeffrey E Garten director AETNA INC., 151 FARMINGTON AVENUE, HARTFORD CT 06156
Frank M Clark director AETNA INC., 151 FARMINGTON AVENUE, HARTFORD CT 06156
Shawn M Guertin officer: Exec. Vice President, CFO TRINET GROUP, INC., ONE PARK PLACE, SUITE 600, DUBLIN CA 94568
Mark T Bertolini director, officer: Chairman and CEO AETNA INC., 151 FARMINGTON AVENUE, HARTFORD CT 06156
Karen S Lynch officer: President 151 FARMINGTON AVENUE, RW61, HARTFORD CT 06156
Roger N Farah director POLO RALPH LAUREN CORP, 650 MADISON AVE, NEW YORK NY 10022
Ellen M Hancock director 126 LIMESTONE ROAD, RIDGEFIELD CT 06877
Edward J Ludwig director C/O BECTON DICKERSON & CO, 1 BECTON DR, FRANKLIN LAKES NJ 07417
Margaret M Mccarthy officer: EVP, Operations & Technology AETNA INC., 151 FARMINGTON AVENUE, HARTFORD CT 06156
Olympia J. Snowe director 100 E. PRATT STREET, BALTIMORE MD 21202
Heather Brianne Dixon officer: VP, Controller & CAO AETNA INC., 151 FARMINGTON AVENUE, HARTFORD CT 06156
Sabatino Thomas J Jr officer: EVP & General Counsel C/O JAN STERN REED BAXTER INTERNATIONAL, ONE BAXTER PARKWAY DF2 2W, DEERFIELD IL 60015