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Best Buy Co (Best Buy Co) Cyclically Adjusted FCF per Share : $7.42 (As of Jan. 2024)


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What is Best Buy Co Cyclically Adjusted FCF per Share?

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted FCF per Share and 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.

Best Buy Co's adjusted free cash flow per share for the three months ended in Jan. 2024 was $4.601. Add all the adjusted free cash flow per share for the past 10 years together and divide the count will get our Cyclically Adjusted FCF per Share, which is $7.42 for the trailing ten years ended in Jan. 2024.

During the past 12 months, Best Buy Co's average Cyclically Adjusted FCF Growth Rate was 4.10% per year. During the past 3 years, the average Cyclically Adjusted FCF Growth Rate was 7.50% per year. During the past 5 years, the average Cyclically Adjusted FCF Growth Rate was 12.00% per year. During the past 10 years, the average Cyclically Adjusted FCF Growth Rate was 10.70% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Cyclically Adjusted FCF Growth Rate using Cyclically Adjusted FCF per Share data.

During the past 13 years, the highest 3-Year average Cyclically Adjusted FCF Growth Rate of Best Buy Co was 258.30% per year. The lowest was 1.30% per year. And the median was 14.95% per year.

As of today (2024-04-28), Best Buy Co's current stock price is $75.05. Best Buy Co's Cyclically Adjusted FCF per Share for the quarter that ended in Jan. 2024 was $7.42. Best Buy Co's Cyclically Adjusted Price-to-FCF of today is 10.11.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of Best Buy Co was 22.50. The lowest was 7.67. And the median was 13.17.


Best Buy Co Cyclically Adjusted FCF per Share Historical Data

The historical data trend for Best Buy Co's Cyclically Adjusted FCF per Share 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.

Best Buy Co Cyclically Adjusted FCF per Share Chart

Best Buy Co Annual Data
Trend Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
Cyclically Adjusted FCF per Share
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.69 5.98 6.69 7.13 7.42

Best Buy Co Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
Cyclically Adjusted FCF per Share 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 7.13 7.05 7.29 7.22 7.42

Competitive Comparison of Best Buy Co's Cyclically Adjusted FCF per Share

For the Specialty Retail subindustry, Best Buy Co'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.


Best Buy Co's Cyclically Adjusted Price-to-FCF Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Best Buy Co's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Best Buy Co Cyclically Adjusted FCF per Share Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted FCF per Share and 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.

What is Cyclically Adjusted FCF per Share? How do we calculate Cyclically Adjusted FCF per Share?

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. Let's use an example to explain.

If we want to calculate the Cyclically Adjusted FCF per Share of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the free cash flow per share from 2001 through 2010.

We adjusted the 2001 free cash flow per share data with the total inflation from 2001 through 2010 to the equivalent free cash flow in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart's free cash flow is $1 a share in 2001, then the 2001's equivalent free cash flow in 2010 is $1.4 a share. If Wal-Mart's free cash flow is $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 free cash flow in 2010 is $1.35. So on and so forth, you get the equivalent free cash flow per share of past 10 years. Then you add them together and divided the sum by the count to get 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.

For example, Best Buy Co's adjusted Free Cash Flow per Share data for the three months ended in Jan. 2024 was:

Adj_FreeCashFlowPerShare= Free Cash Flow per Share /CPI of Jan. 2024 (Change)*Current CPI (Jan. 2024)
=4.601/129.4194*129.4194
=4.601

Current CPI (Jan. 2024) = 129.4194.

Best Buy Co Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201404 0.562 100.023 0.727
201407 0.091 100.520 0.117
201410 0.339 100.176 0.438
201501 2.872 98.604 3.770
201504 -0.375 99.824 -0.486
201507 0.421 100.691 0.541
201510 -0.129 100.346 -0.166
201601 2.117 99.957 2.741
201604 1.090 100.947 1.397
201607 2.059 101.524 2.625
201610 -0.184 101.988 -0.233
201701 3.176 102.456 4.012
201704 0.286 103.167 0.359
201707 0.985 103.278 1.234
201710 1.041 104.070 1.295
201801 2.492 104.578 3.084
201804 0.080 105.708 0.098
201807 2.503 106.324 3.047
201810 -0.877 106.695 -1.064
201901 4.015 106.200 4.893
201904 -0.703 107.818 -0.844
201907 1.600 108.250 1.913
201910 0.419 108.577 0.499
202001 5.549 108.841 6.598
202004 2.492 108.173 2.981
202007 10.679 109.318 12.643
202010 -0.284 109.861 -0.335
202101 3.180 110.364 3.729
202104 -0.218 112.673 -0.250
202107 2.362 115.183 2.654
202110 -0.112 116.696 -0.124
202201 8.394 118.619 9.158
202204 -7.001 121.978 -7.428
202207 1.986 125.002 2.056
202210 1.530 125.734 1.575
202301 7.645 126.223 7.839
202304 -2.433 127.992 -2.460
202307 1.466 128.974 1.471
202310 -0.495 129.810 -0.494
202401 4.601 129.419 4.601

Add all the adjusted free cash flow per share together and divide 10 will get our Cyclically Adjusted FCF per Share.


Best Buy Co  (NYSE:BBY) Cyclically Adjusted FCF per Share Explanation

If a company grows much fast than inflation, Cyclically Adjusted FCF per Share may underestimate the company's free cash flow. Cyclically Adjusted Price-to-FCF can seem to be too high even the actual Price-to-Free-Cash-Flow is low.

For the Cyclically Adjusted Price-to-FCF, the free cash flow per share of the past 10 years are inflation-adjusted and averaged. The result is used for P/FCF calculation. Since it looks at the average over the last 10 years, the Cyclically Adjusted Price-to-FCF is also called CAPFCF Ratio.

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.

Best Buy Co's Cyclically Adjusted Price-to-FCF of today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/Cyclically Adjusted FCF per Share
=75.05/7.42
=10.11

* 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.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of Best Buy Co was 22.50. The lowest was 7.67. And the median was 13.17.


Be Aware

Cyclically Adjusted Price-to-FCF works better for cyclical companies. It gives you a better idea on the company's real free cash flow value.


Best Buy Co Cyclically Adjusted FCF per Share Related Terms

Thank you for viewing the detailed overview of Best Buy Co's Cyclically Adjusted FCF per Share provided by GuruFocus.com. Please click on the following links to see related term pages.


Best Buy Co (Best Buy Co) Business Description

Traded in Other Exchanges
Address
7601 Penn Avenue South, Richfield, MN, USA, 55423
With $46.3 billion in consolidated fiscal 2023 sales, Best Buy is the largest pure-play consumer electronics retailer in the U.S., boasting roughly 8.5% share of the U.S. market and north of 35% share of offline sales, per our calculations, CTA, and Euromonitor data. The firm generates the bulk of its sales in-store, with mobile phones and tablets, computers, and appliances representing its three largest categories. Recent investments in e-commerce fulfillment, accelerated by the COVID-19 pandemic, have seen the U.S. e-commerce channel roughly double from prepandemic levels, with management estimating that it will represent a mid-30% proportion of sales moving forward.
Executives
Richard M Schulze 10 percent owner BEST BUY CO INC, 7075 FLYING CLOUD DRIVE, EDEN PRAIRIE MN 55344
Todd G. Hartman officer: GC, Chief Risk/Comp Officer 7601 PENN AVENUE SOUTH, RICHFIELD MN 55423
David C Kimbell director 8410 W. BRYN MAWR, CHICAGO IL 60631
Kathleen Scarlett officer: Chief Human Resources Officer 7601 PENN AVE S, RICHFIELD MN 55423
Jason J Bonfig officer: Chief Merchandising Officer 7601 PENN AVENUE SOUTH, RICHFIELD MN 55423
Matthew M Bilunas officer: Chief Financial Officer C/O BEST BUY CO., INC., 7601 PENN AVENUE SOUTH, RICHFIELD MN 55423
Barry Corie S officer: CFO 7601 PENN AVE S., RICHFIELD MN 55423
Mathew Watson officer: VP, Finance - Contr. & CAO 7601 PENN AVENUE SOUTH, RICHFIELD MN 55423
Damien Harmon officer: Pres., Omnichannel Ops & Serv 7601 PENN AVENUE SOUTH, RICHFIELD MN 55423
Sima Sistani director 675 AVENUE OF THE AMERICAS, 6TH FLOOR, NEW YORK NY 10010
Melinda D Whittington director THREE LAKES DRIVE, NORTHFIELD IL 60093
Deborah Disanzo officer: President, Best Buy Health 7601 PENN AVENUE SOUTH, RICHFIELD MN 55423
Allison Peterson officer: Chief Customer Officer 7601 PENN AVENUE SOUTH, RICHFIELD MN 55423
Brian A Tilzer officer: Chief Digital & Tech Officer CLARENDON HOUSE, 2 CHURCH STREET, HAMILTON D0 HM11
Mark A Irvin officer: Chief Supply Chain Officer 7601 PENN AVENUE, RICHFIELD MN 55423

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