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BorgWarner (STU:BGW) Cyclically Adjusted Price-to-FCF : 13.01 (As of May. 23, 2024)


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What is BorgWarner Cyclically Adjusted Price-to-FCF?

As of today (2024-05-23), BorgWarner's current share price is €33.555. BorgWarner's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was €2.58. BorgWarner's Cyclically Adjusted Price-to-FCF for today is 13.01.

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

STU:BGW' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 9.06   Med: 21.28   Max: 55.09
Current: 12.81

During the past years, BorgWarner's highest Cyclically Adjusted Price-to-FCF was 55.09. The lowest was 9.06. And the median was 21.28.

STU:BGW's Cyclically Adjusted Price-to-FCF is ranked better than
71.61% of 465 companies
in the Vehicles & Parts industry
Industry Median: 22.02 vs STU:BGW: 12.81

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.

BorgWarner's adjusted free cash flow per share data for the three months ended in Mar. 2024 was €-1.241. 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 €2.58 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


BorgWarner Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for BorgWarner'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.

BorgWarner Cyclically Adjusted Price-to-FCF Chart

BorgWarner 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 19.18 15.20 15.64 13.22 12.64

BorgWarner Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 16.08 16.64 15.51 12.64 12.41

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

For the Auto Parts subindustry, BorgWarner'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.


BorgWarner's Cyclically Adjusted Price-to-FCF Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, BorgWarner's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



BorgWarner 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=33.555/2.58
=13.01

* 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.

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

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

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=-1.241/131.7762*131.7762
=-1.241

Current CPI (Mar. 2024) = 131.7762.

BorgWarner Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 0.477 100.560 0.625
201409 0.269 100.428 0.353
201412 0.322 99.070 0.428
201503 -0.437 99.621 -0.578
201506 0.557 100.684 0.729
201509 0.067 100.392 0.088
201512 0.985 99.792 1.301
201603 -0.288 100.470 -0.378
201606 0.811 101.688 1.051
201609 0.462 101.861 0.598
201612 1.323 101.863 1.712
201703 -0.311 102.862 -0.398
201706 0.907 103.349 1.156
201709 0.355 104.136 0.449
201712 1.543 104.011 1.955
201803 -0.481 105.290 -0.602
201806 0.657 106.317 0.814
201809 0.517 106.507 0.640
201812 1.761 105.998 2.189
201903 -0.329 107.251 -0.404
201906 1.284 108.070 1.566
201909 1.122 108.329 1.365
201912 0.213 108.420 0.259
202003 0.641 108.902 0.776
202006 0.043 108.767 0.052
202009 1.524 109.815 1.829
202012 0.679 109.897 0.814
202103 0.511 111.754 0.603
202106 0.461 114.631 0.530
202109 -0.035 115.734 -0.040
202112 1.570 117.630 1.759
202203 -0.232 121.301 -0.252
202206 0.246 125.017 0.259
202209 0.532 125.227 0.560
202212 1.742 125.222 1.833
202303 -0.717 127.348 -0.742
202306 -0.284 128.729 -0.291
202309 0.550 129.860 0.558
202312 2.663 129.419 2.711
202403 -1.241 131.776 -1.241

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.


BorgWarner  (STU:BGW) 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.


BorgWarner Cyclically Adjusted Price-to-FCF Related Terms

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


BorgWarner (STU:BGW) Business Description

Traded in Other Exchanges
Address
3850 Hamlin Road, Auburn Hills, MI, USA, 48326
BorgWarner is a Tier I auto-parts supplier with three operating segments. The air management group makes turbochargers, e-boosters, e-turbos, timing systems, emissions systems, thermal systems, gasoline ignition technology, powertrain sensors, and cabin heaters. The drivetrain and battery systems group produces automatic transmission components, torque management products, battery heaters, battery charging, and battery modules. The e-propulsion segment makes e-motors, power electronics, and software and control modules. The company's largest customers are Ford and Volkswagen at 13% and 8% of 2022 revenue, respectively. Geographically, Europe accounted for 34% of 2022 revenue, while Asia and North America were 32% each.

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