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Brookfield Business Partners LP (Brookfield Business Partners LP) Cyclically Adjusted FCF per Share : $6.66 (As of Mar. 2024)


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What is Brookfield Business Partners LP 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.

Brookfield Business Partners LP's adjusted free cash flow per share for the three months ended in Mar. 2024 was $-3.594. 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 $6.66 for the trailing ten years ended in Mar. 2024.

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.

As of today (2024-06-11), Brookfield Business Partners LP's current stock price is $18.74. Brookfield Business Partners LP's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was $6.66. Brookfield Business Partners LP's Cyclically Adjusted Price-to-FCF of today is 2.81.

During the past 12 years, the highest Cyclically Adjusted Price-to-FCF of Brookfield Business Partners LP was 3.09. The lowest was 2.71. And the median was 2.93.


Brookfield Business Partners LP Cyclically Adjusted FCF per Share Historical Data

The historical data trend for Brookfield Business Partners LP'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.

Brookfield Business Partners LP Cyclically Adjusted FCF per Share Chart

Brookfield Business Partners LP Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted FCF per Share
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Brookfield Business Partners LP Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 - - - - 6.66

Competitive Comparison of Brookfield Business Partners LP's Cyclically Adjusted FCF per Share

For the Conglomerates subindustry, Brookfield Business Partners LP'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.


Brookfield Business Partners LP's Cyclically Adjusted Price-to-FCF Distribution in the Conglomerates Industry

For the Conglomerates industry and Industrials sector, Brookfield Business Partners LP's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

* The bar in red indicates where Brookfield Business Partners LP's Cyclically Adjusted Price-to-FCF falls into.



Brookfield Business Partners LP 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, Brookfield Business Partners LP'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)
=-3.594/131.7762*131.7762
=-3.594

Current CPI (Mar. 2024) = 131.7762.

Brookfield Business Partners LP Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 0.000 100.560 0.000
201409 0.000 100.428 0.000
201412 0.000 99.070 0.000
201503 0.169 99.621 0.224
201506 1.153 100.684 1.509
201509 -0.220 100.392 -0.289
201512 2.169 99.792 2.864
201603 0.046 100.470 0.060
201606 1.770 101.688 2.294
201609 -0.065 101.861 -0.084
201612 0.407 101.863 0.527
201703 0.269 102.862 0.345
201706 -3.963 103.349 -5.053
201709 2.635 104.136 3.334
201712 -2.765 104.011 -3.503
201803 -0.889 105.290 -1.113
201806 2.273 106.317 2.817
201809 -0.364 106.507 -0.450
201812 11.432 105.998 14.212
201903 -0.341 107.251 -0.419
201906 13.712 108.070 16.720
201909 5.192 108.329 6.316
201912 -4.975 108.420 -6.047
202003 1.605 108.902 1.942
202006 14.440 108.767 17.495
202009 8.929 109.815 10.715
202012 9.987 109.897 11.975
202103 -2.678 111.754 -3.158
202106 6.018 114.631 6.918
202109 1.162 115.734 1.323
202112 -1.421 117.630 -1.592
202203 -8.748 121.301 -9.503
202206 1.381 125.017 1.456
202209 3.927 125.227 4.132
202212 -6.205 125.222 -6.530
202303 -4.011 127.348 -4.150
202306 -1.783 128.729 -1.825
202309 0.000 129.860 0.000
202312 0.000 129.419 0.000
202403 -3.594 131.776 -3.594

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


Brookfield Business Partners LP  (NYSE:BBU) 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.

Brookfield Business Partners LP's Cyclically Adjusted Price-to-FCF of today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/Cyclically Adjusted FCF per Share
=18.74/6.66
=2.81

* 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 12 years, the highest Cyclically Adjusted Price-to-FCF of Brookfield Business Partners LP was 3.09. The lowest was 2.71. And the median was 2.93.


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.


Brookfield Business Partners LP Cyclically Adjusted FCF per Share Related Terms

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


Brookfield Business Partners LP (Brookfield Business Partners LP) Business Description

Traded in Other Exchanges
Address
73 Front Street, 5th Floor, Hamilton, BMU, HM 12
Brookfield Business Partners LP is a business services and industrials company. It focused on operating businesses that are either low-cost producers and benefit from high barriers to entry. The company's operating segment includes Business services; Infrastructure services; Industrials and Corporate and others. It generates maximum revenue from the Business Services segment. Geographically, it derives a majority of revenue from the United Kingdom and also has a presence in the United States of America; Europe; Australia; Canada; Brazil; Mexico and Other Countries.