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Applied Materials (LTS:0R1A) Cyclically Adjusted Price-to-FCF : 47.47 (As of May. 30, 2024)


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What is Applied Materials Cyclically Adjusted Price-to-FCF?

As of today (2024-05-30), Applied Materials's current share price is $219.775. Applied Materials's Cyclically Adjusted FCF per Share for the quarter that ended in Apr. 2024 was $4.63. Applied Materials's Cyclically Adjusted Price-to-FCF for today is 47.47.

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

LTS:0R1A' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 13.64   Med: 29.32   Max: 63.5
Current: 48.23

During the past years, Applied Materials's highest Cyclically Adjusted Price-to-FCF was 63.50. The lowest was 13.64. And the median was 29.32.

LTS:0R1A's Cyclically Adjusted Price-to-FCF is ranked worse than
57.56% of 344 companies
in the Semiconductors industry
Industry Median: 39.84 vs LTS:0R1A: 48.23

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.

Applied Materials's adjusted free cash flow per share data for the three months ended in Apr. 2024 was $1.358. 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 $4.63 for the trailing ten years ended in Apr. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Applied Materials Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Applied Materials'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.

Applied Materials Cyclically Adjusted Price-to-FCF Chart

Applied Materials Annual Data
Trend Oct14 Oct15 Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23
Cyclically Adjusted Price-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 28.40 27.37 52.02 27.60 31.77

Applied Materials Quarterly Data
Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24
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 30.40 38.01 31.77 37.41 43.72

Competitive Comparison of Applied Materials's Cyclically Adjusted Price-to-FCF

For the Semiconductor Equipment & Materials subindustry, Applied Materials'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.


Applied Materials's Cyclically Adjusted Price-to-FCF Distribution in the Semiconductors Industry

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

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



Applied Materials 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=219.775/4.63
=47.47

* 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.

Applied Materials's Cyclically Adjusted FCF per Share for the quarter that ended in Apr. 2024 is calculated as:

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

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Apr. 2024 (Change)*Current CPI (Apr. 2024)
=1.358/131.7762*131.7762
=1.358

Current CPI (Apr. 2024) = 131.7762.

Applied Materials Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201407 0.421 100.520 0.552
201410 0.279 100.176 0.367
201501 0.009 98.604 0.012
201504 0.189 99.824 0.249
201507 0.232 100.691 0.304
201510 0.351 100.346 0.461
201601 0.120 99.957 0.158
201604 0.388 100.947 0.506
201607 0.852 101.524 1.106
201610 0.739 101.988 0.955
201701 0.669 102.456 0.860
201704 0.767 103.167 0.980
201707 1.198 103.278 1.529
201710 0.544 104.070 0.689
201801 1.179 104.578 1.486
201804 0.471 105.708 0.587
201807 0.498 106.324 0.617
201810 0.924 106.695 1.141
201901 0.726 106.200 0.901
201904 0.719 107.818 0.879
201907 0.741 108.250 0.902
201910 0.784 108.577 0.952
202001 0.955 108.841 1.156
202004 0.611 108.173 0.744
202007 0.846 109.318 1.020
202010 1.253 109.861 1.503
202101 1.405 110.364 1.678
202104 1.060 112.673 1.240
202107 1.687 115.183 1.930
202110 1.039 116.696 1.173
202201 2.803 118.619 3.114
202204 0.232 121.978 0.251
202207 1.449 125.002 1.528
202210 0.738 125.734 0.773
202301 2.336 126.223 2.439
202304 2.405 127.992 2.476
202307 2.762 128.974 2.822
202310 1.480 129.810 1.502
202401 2.504 130.124 2.536
202404 1.358 131.776 1.358

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.


Applied Materials  (LTS:0R1A) 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.


Applied Materials Cyclically Adjusted Price-to-FCF Related Terms

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


Applied Materials (LTS:0R1A) Business Description

Industry
Address
3050 Bowers Avenue, P.O. Box 58039, Santa Clara, CA, USA, 95052-8039
Applied Materials is the largest semiconductor wafer fabrication equipment, or WFE, manufacturer in the world. Applied Materials has a broad portfolio spanning nearly every corner of the WFE ecosystem. Specifically, Applied Materials holds a market share leadership position in deposition, which entails the layering of new materials on semiconductor wafers. It is more exposed to general-purpose logic chips made at integrated device manufacturers and foundries. It counts the largest chipmakers in the world as customers, including TSMC, Intel, and Samsung.

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