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T. Rowe Price Group (T. Rowe Price Group) Cyclically Adjusted Price-to-FCF : 17.49 (As of Apr. 28, 2024)


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What is T. Rowe Price Group Cyclically Adjusted Price-to-FCF?

As of today (2024-04-28), T. Rowe Price Group's current share price is $114.02. T. Rowe Price Group's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 was $6.52. T. Rowe Price Group's Cyclically Adjusted Price-to-FCF for today is 17.49.

The historical rank and industry rank for T. Rowe Price Group's Cyclically Adjusted Price-to-FCF or its related term are showing as below:

TROW' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 13.25   Med: 28.78   Max: 45.53
Current: 17.5

During the past years, T. Rowe Price Group's highest Cyclically Adjusted Price-to-FCF was 45.53. The lowest was 13.25. And the median was 28.78.

TROW's Cyclically Adjusted Price-to-FCF is ranked better than
54.64% of 507 companies
in the Asset Management industry
Industry Median: 20.19 vs TROW: 17.50

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.

T. Rowe Price Group's adjusted free cash flow per share data for the three months ended in Dec. 2023 was $-1.069. 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 $6.52 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


T. Rowe Price Group Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for T. Rowe Price Group'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.

T. Rowe Price Group Cyclically Adjusted Price-to-FCF Chart

T. Rowe Price Group 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 32.80 35.81 35.39 16.91 16.53

T. Rowe Price Group 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 16.91 17.25 16.88 15.73 16.53

Competitive Comparison of T. Rowe Price Group's Cyclically Adjusted Price-to-FCF

For the Asset Management subindustry, T. Rowe Price Group'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.


T. Rowe Price Group's Cyclically Adjusted Price-to-FCF Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, T. Rowe Price Group's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

* The bar in red indicates where T. Rowe Price Group's Cyclically Adjusted Price-to-FCF falls into.



T. Rowe Price Group 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.

T. Rowe Price Group's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=114.02/6.52
=17.49

* 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.

T. Rowe Price Group's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 is calculated as:

For example, T. Rowe Price Group'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)
=-1.069/129.4194*129.4194
=-1.069

Current CPI (Dec. 2023) = 129.4194.

T. Rowe Price Group Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201403 1.719 99.695 2.232
201406 0.760 100.560 0.978
201409 1.749 100.428 2.254
201412 0.318 99.070 0.415
201503 1.891 99.621 2.457
201506 1.150 100.684 1.478
201509 1.826 100.392 2.354
201512 0.393 99.792 0.510
201603 0.148 100.470 0.191
201606 -0.517 101.688 -0.658
201609 0.996 101.861 1.265
201612 -0.541 101.863 -0.687
201703 0.577 102.862 0.726
201706 -0.350 103.349 -0.438
201709 0.684 104.136 0.850
201712 -0.728 104.011 -0.906
201803 1.939 105.290 2.383
201806 1.481 106.317 1.803
201809 2.078 106.507 2.525
201812 0.356 105.998 0.435
201903 2.216 107.251 2.674
201906 1.352 108.070 1.619
201909 2.089 108.329 2.496
201912 -0.142 108.420 -0.170
202003 3.132 108.902 3.722
202006 3.458 108.767 4.115
202009 0.986 109.815 1.162
202012 -0.250 109.897 -0.294
202103 4.069 111.754 4.712
202106 3.247 114.631 3.666
202109 5.377 115.734 6.013
202112 1.326 117.630 1.459
202203 4.563 121.301 4.868
202206 2.438 125.017 2.524
202209 3.152 125.227 3.258
202212 -0.872 125.222 -0.901
202303 2.003 127.348 2.036
202306 1.435 128.729 1.443
202309 1.674 129.860 1.668
202312 -1.069 129.419 -1.069

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.


T. Rowe Price Group  (NAS:TROW) 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.


T. Rowe Price Group Cyclically Adjusted Price-to-FCF Related Terms

Thank you for viewing the detailed overview of T. Rowe Price Group's Cyclically Adjusted Price-to-FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


T. Rowe Price Group (T. Rowe Price Group) Business Description

Address
100 East Pratt Street, Baltimore, MD, USA, 21202
T. Rowe Price provides asset-management services for individual and institutional investors. It offers a broad range of no-load U.S. and international stock, hybrid, bond, and money market funds. At the end of October 2023, the firm had $1.312 trillion in managed assets, composed of equity (51%), balanced (33%), fixed-income and money market (13%), and alternatives (3%) offerings. Approximately two thirds of the company's managed assets are held in retirement-based accounts, which provides T. Rowe Price with a somewhat stickier client base than most of its peers. The firm also manages private accounts, provides retirement planning advice, and offers discount brokerage and trust services. The company is primarily a U.S.-based asset manager, deriving just over 9% of its AUM from overseas.
Executives
Higginbotham Robert C.t. officer: Vice President 100 E. PRATT STREET, BALTIMORE MD 21202
Thomson Andrew Justin Mackenzie officer: Vice President 100 E. PRATT STREET, BALTIMORE MD 21202
William P Donnelly director C/O INGERSOLL RAND INC., 525 HARBOUR PLACE DRIVE, SUITE 600, DAVIDSON NC 28036
Andrew C. Mccormick officer: Vice President 100 E. PRATT STREET, BALTIMORE MD 21202
Cynthia F Smith director 100 E. PRATT STREET, BALTIMORE MD 21202
Jessica M Hiebler officer: Principal Accounting Officer 100 E. PRATT STREET, BALTIMORE MD 21202
William J Stromberg officer: Vice President 100 E. PRATT STREET, BALTIMORE MD 21202
Kimberly H Johnson officer: COO and VP C/O FANNIE MAE, 1100 15TH STREET, NW, WASHINGTON DC 20005
Joshua B Nelson officer: Vice President 100 E. PRATT STREET, BALTIMORE MD 21202
Glenn R August director, officer: Vice President C/O OHA - 1114 AVENUE OF THE AMERICAS, 27TH FLOOR, NEW YORK NY 10036
Eileen P Rominger director 100 E. PRATT STREET, BALTIMORE MD 21202
Sebastien Page officer: Vice President 100 E. PRATT STREET, BALTIMORE MD 21202
Jennifer B Dardis other: CFO and VP 100 E. PRATT STREET, BALTIMORE MD 21202
Mary K Bush director 3509 WOODBINE STREET, CHEVY CHASE MD 20815
W. Sharps Robert officer: Vice President 100 E. PRATT STREET, BALTIMORE MD 21202