GURUFOCUS.COM » STOCK LIST » Technology » Software » Adobe Inc (BSP:ADBE34) » Definitions » Cyclically Adjusted Price-to-FCF

Adobe (BSP:ADBE34) Cyclically Adjusted Price-to-FCF : 49.01 (As of May. 26, 2024)


View and export this data going back to 2019. Start your Free Trial

What is Adobe Cyclically Adjusted Price-to-FCF?

As of today (2024-05-26), Adobe's current share price is R$49.50. Adobe's Cyclically Adjusted FCF per Share for the quarter that ended in Feb. 2024 was R$1.01. Adobe's Cyclically Adjusted Price-to-FCF for today is 49.01.

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

BSP:ADBE34' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 21   Med: 54.36   Max: 115.28
Current: 47.06

During the past years, Adobe's highest Cyclically Adjusted Price-to-FCF was 115.28. The lowest was 21.00. And the median was 54.36.

BSP:ADBE34's Cyclically Adjusted Price-to-FCF is ranked worse than
64.3% of 661 companies
in the Software industry
Industry Median: 29.5 vs BSP:ADBE34: 47.06

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.

Adobe's adjusted free cash flow per share data for the three months ended in Feb. 2024 was R$0.247. 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 R$1.01 for the trailing ten years ended in Feb. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Adobe Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Adobe'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.

Adobe Cyclically Adjusted Price-to-FCF Chart

Adobe Annual Data
Trend Nov14 Nov15 Nov16 Nov17 Nov18 Nov19 Nov20 Nov21 Nov22 Nov23
Cyclically Adjusted Price-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 75.30 94.85 102.62 41.70 62.31

Adobe Quarterly Data
May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24
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 37.50 45.87 58.63 62.31 55.46

Competitive Comparison of Adobe's Cyclically Adjusted Price-to-FCF

For the Software - Infrastructure subindustry, Adobe'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.


Adobe's Cyclically Adjusted Price-to-FCF Distribution in the Software Industry

For the Software industry and Technology sector, Adobe's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Adobe 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=49.50/1.01
=49.01

* 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.

Adobe's Cyclically Adjusted FCF per Share for the quarter that ended in Feb. 2024 is calculated as:

For example, Adobe's adjusted Free Cash Flow per Share data for the three months ended in Feb. 2024 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Feb. 2024 (Change)*Current CPI (Feb. 2024)
=0.247/130.9299*130.9299
=0.247

Current CPI (Feb. 2024) = 130.9299.

Adobe Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201405 0.030 100.373 0.039
201408 0.019 100.352 0.025
201411 0.036 99.635 0.047
201502 0.016 99.032 0.021
201505 0.053 100.333 0.069
201508 0.043 100.548 0.056
201511 0.058 100.135 0.076
201602 0.071 100.040 0.093
201605 0.061 101.355 0.079
201608 0.059 101.617 0.076
201611 0.086 101.829 0.111
201702 0.087 102.779 0.111
201705 0.076 103.256 0.096
201708 0.082 103.587 0.104
201711 0.104 104.072 0.131
201802 0.116 105.052 0.145
201805 0.136 106.148 0.168
201808 0.141 106.383 0.174
201811 0.159 106.338 0.196
201902 0.143 106.649 0.176
201905 0.156 108.048 0.189
201908 0.136 108.245 0.165
201911 0.217 108.519 0.262
202002 0.219 109.139 0.263
202005 0.253 108.175 0.306
202008 0.295 109.662 0.352
202011 0.380 109.793 0.453
202102 0.384 110.968 0.453
202105 0.416 113.576 0.480
202108 0.286 115.421 0.324
202111 0.455 117.269 0.508
202202 0.365 119.703 0.399
202205 0.402 123.323 0.427
202208 0.346 124.958 0.363
202211 0.504 125.607 0.525
202302 0.359 126.928 0.370
202305 0.438 128.314 0.447
202308 0.381 129.538 0.385
202311 0.331 129.548 0.335
202402 0.247 130.930 0.247

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.


Adobe  (BSP:ADBE34) 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.


Adobe Cyclically Adjusted Price-to-FCF Related Terms

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


Adobe (BSP:ADBE34) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Technology » Software » Adobe Inc (BSP:ADBE34) » Definitions » Cyclically Adjusted Price-to-FCF
Address
345 Park Avenue, San Jose, CA, USA, 95110-2704
Adobe provides content creation, document management, and digital marketing and advertising software and services to creative professionals and marketers for creating, managing, delivering, measuring, optimizing and engaging with compelling content multiple operating systems, devices and media. The company operates with three segments: digital media content creation, digital experience for marketing solutions, and publishing for legacy products (less than 5% of revenue).

Adobe (BSP:ADBE34) Headlines

No Headlines