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Power Finance (BOM:532810) Cyclically Adjusted Price-to-FCF : (As of May. 31, 2024)


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What is Power Finance Cyclically Adjusted Price-to-FCF?

Shiller PE for Stocks: The True Measure of Stock Valuation


Power Finance Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Power Finance'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.

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Power Finance Cyclically Adjusted Price-to-FCF Chart

Power Finance Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Cyclically Adjusted Price-to-FCF
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Power Finance Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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Competitive Comparison of Power Finance's Cyclically Adjusted Price-to-FCF

For the Credit Services subindustry, Power Finance'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.


Power Finance's Cyclically Adjusted Price-to-FCF Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, Power Finance's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Power Finance 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.

Power Finance's Cyclically Adjusted FCF per Share for the fiscal year that ended in Mar24 is calculated as:

For example, Power Finance's adjusted Free Cash Flow per Share data for the fiscal year that ended in Mar24 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Mar24 (Change)*Current CPI (Mar24)
=-297.394/153.0345*153.0345
=-297.394

Current CPI (Mar24) = 153.0345.

Power Finance Annual Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201503 -65.143 97.163 -102.602
201603 -40.767 102.518 -60.855
201703 4.891 105.196 7.115
201803 -173.441 109.786 -241.765
201903 -243.481 118.202 -315.231
202003 -128.112 124.705 -157.215
202103 -179.496 131.771 -208.462
202203 13.949 138.822 15.377
202303 -226.790 146.865 -236.318
202403 -297.394 153.035 -297.394

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.


Power Finance  (BOM:532810) 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.


Power Finance Cyclically Adjusted Price-to-FCF Related Terms

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Power Finance (BOM:532810) Business Description

Traded in Other Exchanges
Address
Urjanidhi, 1, Barakhamba Lane, Connaught Place, New Delhi, IND, 110001
Power Finance Corp Ltd is a financial institution operating in India and dedicated to financing of the country's power sector and its various projects. The company serves state power utilities, central power sector utilities, power departments, private power sector utilities, joint sector power utilities, power equipment manufacturers, and municipal power utilities. The company's main products include rupee term loans, short-term loans, and a buyer line of credit. Interest income is the company's main source of revenue. The company's strategy emphasizes exploring other areas for sustainable growth, including funding renewable equipment manufacturers, nuclear power projects, and backward linkages to the power sector.

Power Finance (BOM:532810) Headlines

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