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BorgWarner (BorgWarner) Cyclically Adjusted Price-to-FCF : 11.69 (As of Apr. 27, 2024)


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What is BorgWarner Cyclically Adjusted Price-to-FCF?

As of today (2024-04-27), BorgWarner's current share price is $33.19. BorgWarner's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 was $2.84. BorgWarner's Cyclically Adjusted Price-to-FCF for today is 11.69.

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

BWA' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 9.06   Med: 21.9   Max: 55.09
Current: 11.7

During the past years, BorgWarner's highest Cyclically Adjusted Price-to-FCF was 55.09. The lowest was 9.06. And the median was 21.90.

BWA's Cyclically Adjusted Price-to-FCF is ranked better than
73.18% of 481 companies
in the Vehicles & Parts industry
Industry Median: 21.61 vs BWA: 11.70

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 Dec. 2023 was $2.904. 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 $2.84 for the trailing ten years ended in Dec. 2023.

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
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 13.22 16.37 16.64 15.51 12.64

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
=33.19/2.84
=11.69

* 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 Dec. 2023 is calculated as:

For example, BorgWarner's adjusted Free Cash Flow per Share data for the three months ended in Dec. 2023 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=2.904/129.4194*129.4194
=2.904

Current CPI (Dec. 2023) = 129.4194.

BorgWarner Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201403 -0.348 99.695 -0.452
201406 0.647 100.560 0.833
201409 0.347 100.428 0.447
201412 0.397 99.070 0.519
201503 -0.473 99.621 -0.614
201506 0.625 100.684 0.803
201509 0.076 100.392 0.098
201512 1.073 99.792 1.392
201603 -0.320 100.470 -0.412
201606 0.911 101.688 1.159
201609 0.518 101.861 0.658
201612 1.395 101.863 1.772
201703 -0.333 102.862 -0.419
201706 1.019 103.349 1.276
201709 0.423 104.136 0.526
201712 1.826 104.011 2.272
201803 -0.593 105.290 -0.729
201806 0.767 106.317 0.934
201809 0.604 106.507 0.734
201812 2.004 105.998 2.447
201903 -0.372 107.251 -0.449
201906 1.451 108.070 1.738
201909 1.236 108.329 1.477
201912 0.237 108.420 0.283
202003 0.708 108.902 0.841
202006 0.049 108.767 0.058
202009 1.795 109.815 2.115
202012 0.827 109.897 0.974
202103 0.608 111.754 0.704
202106 0.555 114.631 0.627
202109 -0.042 115.734 -0.047
202112 1.774 117.630 1.952
202203 -0.255 121.301 -0.272
202206 0.261 125.017 0.270
202209 0.526 125.227 0.544
202212 1.845 125.222 1.907
202303 -1.237 127.348 -1.257
202306 0.162 128.729 0.163
202309 0.586 129.860 0.584
202312 2.904 129.419 2.904

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  (NYSE:BWA) 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 (BorgWarner) 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.
Executives
Stefan Demmerle officer: Vice President BORGWARNER INC., 3850 HAMLIN ROAD, AUBURN HILLS MI 48326
Joseph F. Fadool officer: Vice President BORGWARNER INC., 3850 HAMLIN ROAD, AUBURN HILLS MI 48326
Alexis P Michas director 940 WINTER STREET, C/O PERKINELMER, WALTHAM MA 02451
Tonit M Calaway officer: EVP and Chief HR Officer HARLEY-DAVIDSON MOTOR COMPANY, 3700 WEST JUNEAU AVENUE, MILWAUKEE WI 53208
Isabelle Mckenzie officer: Vice President 3850 HAMLIN ROAD, AUBURN HILLS MI 48326
Tania Wingfield officer: EVP & CHRO 3850 HAMLIN ROAD, AUBURN HILLS MI 48326
Daniel Etue officer: VP & Controller 3850 W. HAMLIN RD, AUBURN HILLS MI 48326
Frederic Lissalde officer: Vice President BORGWARNER INC., 3850 HAMLIN ROAD, AUBURN HILLS MI 48326
Hau N Thai-tang director ONE AMERICAN ROAD, DEARBORN MI 48126
Sailaja Shankar director 3850 HAMLIN ROAD, AUBURN HILLS MI 48326
Felecia J. Pryor officer: EVP & CHRO 3850 W. HAMLIN ROAD, AUBURN HILLS MI 48326
Sara A. Greenstein director 600 GRANT STREET, PITTSBURGH PA 15219
Paul Arthur Farrell officer: VP & Chief Strategy Officer 3850 W. HAMLIN ROAD, AUBURN HILLS MI 48326
Volker Weng officer: Vice President 3850 W. HAMLIN ROAD, AUBURN HILLS MI 48326
Davide Girelli officer: Vice President 3850 W. HAMLIN ROAD, AUBURN HILLS MI 48326

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