GURUFOCUS.COM » STOCK LIST » Financial Services » Insurance » American Financial Group Inc (NYSE:AFG) » Definitions » Cyclically Adjusted Price-to-FCF

American Financial Group (American Financial Group) Cyclically Adjusted Price-to-FCF : 5.56 (As of Apr. 30, 2024)


View and export this data going back to 1978. Start your Free Trial

What is American Financial Group Cyclically Adjusted Price-to-FCF?

As of today (2024-04-30), American Financial Group's current share price is $126.99. American Financial Group's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 was $22.83. American Financial Group's Cyclically Adjusted Price-to-FCF for today is 5.56.

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

AFG' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 3.41   Med: 7.24   Max: 10.61
Current: 5.59

During the past years, American Financial Group's highest Cyclically Adjusted Price-to-FCF was 10.61. The lowest was 3.41. And the median was 7.24.

AFG's Cyclically Adjusted Price-to-FCF is ranked better than
72.39% of 326 companies
in the Insurance industry
Industry Median: 11.06 vs AFG: 5.59

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.

American Financial Group's adjusted free cash flow per share data for the three months ended in Dec. 2023 was $9.011. 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 $22.83 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


American Financial Group Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for American Financial Group'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.

American Financial Group Cyclically Adjusted Price-to-FCF Chart

American Financial Group 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 7.30 5.21 7.08 6.57 5.21

American Financial Group 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 6.57 5.62 5.45 4.95 5.21

Competitive Comparison of American Financial Group's Cyclically Adjusted Price-to-FCF

For the Insurance - Property & Casualty subindustry, American Financial Group'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.


American Financial Group's Cyclically Adjusted Price-to-FCF Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, American Financial Group's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



American Financial Group 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.

American Financial Group's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=126.99/22.83
=5.56

* 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.

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

For example, American Financial Group'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)
=9.011/129.4194*129.4194
=9.011

Current CPI (Dec. 2023) = 129.4194.

American Financial Group Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201403 2.227 99.695 2.891
201406 3.221 100.560 4.145
201409 1.925 100.428 2.481
201412 6.203 99.070 8.103
201503 4.441 99.621 5.769
201506 2.000 100.684 2.571
201509 3.707 100.392 4.779
201512 4.989 99.792 6.470
201603 4.610 100.470 5.938
201606 0.995 101.688 1.266
201609 2.825 101.861 3.589
201612 4.550 101.863 5.781
201703 -0.851 102.862 -1.071
201706 7.238 103.349 9.064
201709 4.656 104.136 5.786
201712 9.001 104.011 11.200
201803 4.325 105.290 5.316
201806 4.763 106.317 5.798
201809 5.006 106.507 6.083
201812 8.896 105.998 10.862
201903 5.006 107.251 6.041
201906 4.648 108.070 5.566
201909 8.935 108.329 10.675
201912 8.379 108.420 10.002
202003 5.891 108.902 7.001
202006 6.167 108.767 7.338
202009 6.881 109.815 8.109
202012 5.591 109.897 6.584
202103 7.240 111.754 8.384
202106 4.007 114.631 4.524
202109 5.340 115.734 5.971
202112 3.400 117.630 3.741
202203 5.904 121.301 6.299
202206 0.129 125.017 0.134
202209 6.194 125.227 6.401
202212 1.290 125.222 1.333
202303 4.719 127.348 4.796
202306 1.350 128.729 1.357
202309 8.217 129.860 8.189
202312 9.011 129.419 9.011

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.


American Financial Group  (NYSE:AFG) 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.


American Financial Group Cyclically Adjusted Price-to-FCF Related Terms

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


American Financial Group (American Financial Group) Business Description

Traded in Other Exchanges
Address
301 East Fourth Street, Cincinnati, OH, USA, 45202
American Financial Group Inc is a holding company that is engaged primarily in property and casualty insurance services. The company has a focus on specialized commercial products for businesses. American also has annuity operations that are focused on sales of traditional fixed and fixed-indexed annuities in the education, bank, and individual markets. American's insurance operations are conducted through the Great American Insurance Group. The group writes business in all 50 of the United States, primarily through independent agents and brokers.
Executives
Amy Y Murray director 3429 ARNOLD STREET, CINCINNATI OH 45202
William W Verity director 301 EAST FOURTH STREET, CINCINNATI OH 45202
Terry S Jacobs director 301 EAST FOURTH STREET, CINCINNATI OH 45202
Von Lehman John I director 301 EAST FOURTH STREET, 38TH FLOOR, CINCINNATI OH 45202
John B Berding director 301 E. FOURTH ST., 27TH FLOOR, CINCINNATI OH 45202
Mark A Weiss officer: Senior VP & General Counsel 301 EAST FOURTH STREET, CINCINNATI OH 45202
Michelle A Gillis officer: Sr. Vice President 301 E. FOURTH STREET, 39TH FLOOR, CINCINNATI OH 45202
Brian S. Hertzman other: principal financial officer 301 EAST FOURTH STREET, CINCINNATI OH 45202
Thompson David Lawrence Jr officer: President of Subsidiary 301 EAST FOURTH STREET, CINCINNATI OH 45202
James E Evans director, officer: Sr. V. Pres. & Gen. Counsel 301 E FOURTH STREET, CINCINNATI OH 45202
Lindner Carl H Iii director, officer: Co-President 14TH FLOOR PROVIDENT TOWER, ONE EAST FOURTH STREET, CINCINNATI OH 45202
S Craig Lindner director, officer: Co-President ONE EAST FOURTH STREET, CINCINNATI OH 45202
Vito C Peraino officer: Sr. VP & General Counsel 301 EAST FOURTH STREET, CINCINNATI OH 45202
Evans N Nwankwo director 301 EAST FOURTH STREET, 38TH FLOOR, CINCINNATI OH 45202
Kenneth C Ambrecht director 250 EAST FIFTH STREET, CINCINNATI OH 45202