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East West Bancorp (East West Bancorp) Cyclically Adjusted Price-to-FCF : 9.78 (As of May. 24, 2024)


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What is East West Bancorp Cyclically Adjusted Price-to-FCF?

As of today (2024-05-24), East West Bancorp's current share price is $73.68. East West Bancorp's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was $7.53. East West Bancorp's Cyclically Adjusted Price-to-FCF for today is 9.78.

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

EWBC' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 5.67   Med: 12.19   Max: 20.47
Current: 9.95

During the past years, East West Bancorp's highest Cyclically Adjusted Price-to-FCF was 20.47. The lowest was 5.67. And the median was 12.19.

EWBC's Cyclically Adjusted Price-to-FCF is ranked worse than
67.46% of 836 companies
in the Banks industry
Industry Median: 7.43 vs EWBC: 9.95

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.

East West Bancorp's adjusted free cash flow per share data for the three months ended in Mar. 2024 was $1.898. 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 $7.53 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


East West Bancorp Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for East West Bancorp'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.

East West Bancorp Cyclically Adjusted Price-to-FCF Chart

East West Bancorp 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 11.91 12.68 16.03 10.25 9.92

East West Bancorp Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 8.38 7.76 7.52 9.92 10.51

Competitive Comparison of East West Bancorp's Cyclically Adjusted Price-to-FCF

For the Banks - Regional subindustry, East West Bancorp'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.


East West Bancorp's Cyclically Adjusted Price-to-FCF Distribution in the Banks Industry

For the Banks industry and Financial Services sector, East West Bancorp's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

* The bar in red indicates where East West Bancorp's Cyclically Adjusted Price-to-FCF falls into.



East West Bancorp 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.

East West Bancorp's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=73.68/7.53
=9.78

* 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.

East West Bancorp's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, East West Bancorp'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)
=1.898/131.7762*131.7762
=1.898

Current CPI (Mar. 2024) = 131.7762.

East West Bancorp Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 -0.003 100.560 -0.004
201409 1.361 100.428 1.786
201412 1.038 99.070 1.381
201503 0.870 99.621 1.151
201506 1.135 100.684 1.486
201509 0.914 100.392 1.200
201512 0.332 99.792 0.438
201603 1.252 100.470 1.642
201606 0.576 101.688 0.746
201609 0.980 101.861 1.268
201612 1.587 101.863 2.053
201703 1.270 102.862 1.627
201706 1.324 103.349 1.688
201709 1.918 104.136 2.427
201712 0.217 104.011 0.275
201803 1.481 105.290 1.854
201806 1.445 106.317 1.791
201809 1.756 106.507 2.173
201812 1.269 105.998 1.578
201903 0.931 107.251 1.144
201906 1.025 108.070 1.250
201909 0.650 108.329 0.791
201912 2.341 108.420 2.845
202003 0.625 108.902 0.756
202006 1.264 108.767 1.531
202009 1.135 109.815 1.362
202012 1.826 109.897 2.190
202103 2.399 111.754 2.829
202106 0.427 114.631 0.491
202109 2.389 115.734 2.720
202112 2.947 117.630 3.301
202203 1.996 121.301 2.168
202206 4.518 125.017 4.762
202209 4.840 125.227 5.093
202212 3.163 125.222 3.329
202303 1.571 127.348 1.626
202306 1.822 128.729 1.865
202309 2.687 129.860 2.727
202312 3.970 129.419 4.042
202403 1.898 131.776 1.898

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.


East West Bancorp  (NAS:EWBC) 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.


East West Bancorp Cyclically Adjusted Price-to-FCF Related Terms

Thank you for viewing the detailed overview of East West Bancorp's Cyclically Adjusted Price-to-FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


East West Bancorp (East West Bancorp) Business Description

Industry
Traded in Other Exchanges
Address
135 North Los Robles Avenue, 7th Floor, Pasadena, CA, USA, 91101
East West Bancorp Inc is the holding company for East West Bank, a full-service commercial bank with cross-border operations concentrated in the United States and China. East-West Bank is one of a few U.S. based banks with a full banking license in China. The bank's cost strategy has increasingly focused on expanding its deposit base away from time deposits to commercial deposits. The bank has also taken part in entertainment partnerships between participants in China and Hollywood. Most of these efforts include financing the production and distribution of film and television projects. The bank leverages its cultural and regulatory knowledge in the U.S. and China to assist its customers in entering new markets. Most of its earning assets are in loans held for investment.
Executives
Jack C Liu director 415 HUNTINGTON DRIVE, SAN MARINO CA 91108
Douglas Paul Krause officer: Executive Vice President 415 HUNTINGTON DRIVE, SAN MARINO CA 91108
Molly Campbell director 135 N. LOS ROBLES AVE 7TH FLR, PASADENA CA 91101
Moral-niles Christopher Del officer: Chief Financial Officer ASSOCIATED BANC-CORP, 433 MAIN STREET, GREEN BAY WI 54301
Rudolph Estrada director 415 HUNTINGTON DR., SAN MARINO CA 91108
Mark R Hutchins director 2454 MCMULLEN BOOTH RD, BUILDING C, CLEARWATER FL 33759
Manuel Pham Alvarez director 135 N. LOS ROBLES AVE., PASADENA CA 91101
Archana Deskus director 2929 ALLEN PARKWAY SUITE 2100, HOUSTON TX 77019
Sabrina Kay director 30930 RUSSELL RANCH ROAD, SUITE 300, WESTLAKE VILLAGE CA 91362
Dominic Ng director, officer: Chief Executive Officer
Lester Sussman director C/O CU BANCORP, 15821 VENTURA BOULEVARD, SUITE 100, ENCINO CA 91436
Irene H Oh officer: Chief Financial Officer 135 N LOS ROBLES AVE. 7TH FL, PASADENA CA 91101
Parker Shi officer: Chief Operating Officer 135 N. LOS ROBLES AVE., PASADENA CA 91101
Gary Teo officer: Senior Vice President 135 N. LOS ROBLES AVE 7TH FLR, PASADENA CA 91101
Serge Dumont director 135 N. LOS ROBLES AVE., PASADENA CA 91101