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IG Group Holdings (LSE:IGG) Cyclically Adjusted Price-to-FCF : 9.95 (As of May. 24, 2024)


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What is IG Group Holdings Cyclically Adjusted Price-to-FCF?

As of today (2024-05-24), IG Group Holdings's current share price is £7.86. IG Group Holdings's Cyclically Adjusted FCF per Share for the fiscal year that ended in May23 was £0.79. IG Group Holdings's Cyclically Adjusted Price-to-FCF for today is 9.95.

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

LSE:IGG' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 7.82   Med: 18.67   Max: 33.52
Current: 10.02

During the past 13 years, IG Group Holdings's highest Cyclically Adjusted Price-to-FCF was 33.52. The lowest was 7.82. And the median was 18.67.

LSE:IGG's Cyclically Adjusted Price-to-FCF is ranked better than
72.05% of 229 companies
in the Capital Markets industry
Industry Median: 18.49 vs LSE:IGG: 10.02

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.

IG Group Holdings's adjusted free cash flow per share data of for the fiscal year that ended in May23 was £0.363. 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 £0.79 for the trailing ten years ended in May23.

Shiller PE for Stocks: The True Measure of Stock Valuation


IG Group Holdings Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for IG Group Holdings'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.

IG Group Holdings Cyclically Adjusted Price-to-FCF Chart

IG Group Holdings Annual Data
Trend May14 May15 May16 May17 May18 May19 May20 May21 May22 May23
Cyclically Adjusted Price-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.08 17.36 15.47 10.25 8.53

IG Group Holdings Semi-Annual Data
May14 Nov14 May15 Nov15 May16 Nov16 May17 Nov17 May18 Nov18 May19 Nov19 May20 Nov20 May21 Nov21 May22 Nov22 May23 Nov23
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 - 10.25 - 8.53 -

Competitive Comparison of IG Group Holdings's Cyclically Adjusted Price-to-FCF

For the Capital Markets subindustry, IG Group Holdings'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.


IG Group Holdings's Cyclically Adjusted Price-to-FCF Distribution in the Capital Markets Industry

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

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



IG Group Holdings 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.

IG Group Holdings's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=7.86/0.79
=9.95

* 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.

IG Group Holdings's Cyclically Adjusted FCF per Share for the fiscal year that ended in May23 is calculated as:

For example, IG Group Holdings's adjusted Free Cash Flow per Share data for the fiscal year that ended in May23 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of May23 (Change)*Current CPI (May23)
=0.363/129.1000*129.1000
=0.363

Current CPI (May23) = 129.1000.

IG Group Holdings Annual Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201405 0.336 99.600 0.436
201505 0.435 100.100 0.561
201605 0.464 100.800 0.594
201705 0.358 103.500 0.447
201805 0.578 105.900 0.705
201905 0.551 107.900 0.659
202005 0.745 108.600 0.886
202105 1.274 111.000 1.482
202205 1.616 119.700 1.743
202305 0.363 129.100 0.363

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.


IG Group Holdings  (LSE:IGG) 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.


IG Group Holdings Cyclically Adjusted Price-to-FCF Related Terms

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


IG Group Holdings (LSE:IGG) Business Description

Traded in Other Exchanges
Address
Cannon Bridge House, 25 Dowgate Hill, London, GBR, EC4R 2YA
IG Group Holdings PLC provides online trading services to its clients. The majority of the company's revenue stems from its derivative products and contracts for difference (CFDs). The company operates through various segments which are The U.K. segment which derives its revenue from financial spread bets, CFDs, binary options, and execution-only stockbroking. The Australian segment derives its revenue from CFDs and binary options. The European segment derives its revenue from CFDs, binary options, and execution-only stockbroking. The Rest of the World segment derives its revenue from the operation of a regulated futures and options exchange as well as CFDs and binary options. The company generates more than half of its revenue from the U.K., followed by Europe and Australia.

IG Group Holdings (LSE:IGG) Headlines

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