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Aarti Industries (BOM:524208) Cyclically Adjusted FCF per Share : ₹-5.02 (As of Mar. 2024)


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What is Aarti Industries 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.

Aarti Industries's adjusted free cash flow per share data for the fiscal year that ended in Mar. 2024 was ₹-3.425. 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 ₹-5.02 for the trailing ten years ended in Mar. 2024.

During the past 3 years, the average Cyclically Adjusted FCF Growth Rate was -29.50% per year. During the past 5 years, the average Cyclically Adjusted FCF Growth Rate was -108.00% per year. 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.

During the past 13 years, the highest 3-Year average Cyclically Adjusted FCF Growth Rate of Aarti Industries was 26.00% per year. The lowest was -273.00% per year. And the median was -29.50% per year.

As of today (2024-06-01), Aarti Industries's current stock price is ₹ 610.80. Aarti Industries's Cyclically Adjusted FCF per Share for the fiscal year that ended in Mar. 2024 was ₹-5.02. Aarti Industries's Cyclically Adjusted Price-to-FCF of today is .


Aarti Industries Cyclically Adjusted FCF per Share Historical Data

The historical data trend for Aarti Industries'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.

Aarti Industries Cyclically Adjusted FCF per Share Chart

Aarti Industries Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Cyclically Adjusted FCF per Share
Get a 7-Day Free Trial Premium Member Only Premium Member Only -1.03 -2.31 -4.15 -4.38 -5.02

Aarti Industries 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 -4.38 - - - -5.02

Competitive Comparison of Aarti Industries's Cyclically Adjusted FCF per Share

For the Specialty Chemicals subindustry, Aarti Industries'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.


Aarti Industries's Cyclically Adjusted Price-to-FCF Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Aarti Industries's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Aarti Industries 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, Aarti Industries's adjusted Free Cash Flow per Share data for the fiscal year that ended in Mar. 2024 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share /CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=-3.425/153.0345*153.0345
=-3.425

Current CPI (Mar. 2024) = 153.0345.

Aarti Industries Annual Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201503 1.028 97.163 1.619
201603 3.214 102.518 4.798
201703 -1.831 105.196 -2.664
201803 -8.606 109.786 -11.996
201903 -1.656 118.202 -2.144
202003 -1.470 124.705 -1.804
202103 -12.687 131.771 -14.734
202203 -17.842 138.822 -19.669
202303 -0.193 146.865 -0.201
202403 -3.425 153.035 -3.425

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


Aarti Industries  (BOM:524208) 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.


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.


Aarti Industries Cyclically Adjusted FCF per Share Related Terms

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


Aarti Industries (BOM:524208) Business Description

Industry
Traded in Other Exchanges
Address
Mulund Goregaon Link Road, L.B.S. Marg, 71, Udyog Kshetra, 2nd Floor, Mulund (West), Mumbai, MH, IND, 400080
Aarti Industries Ltd manufactures and sells chemicals and chemical-based products in two segments based on the product type. The Specialty chemical segment, which generates the majority of revenue, sells benzene-based chemicals, which are used in agricultural products, dyes and pigments, and flavors and fragrances. The Pharmaceuticals segment sells drugs used to treat diarrhea, inflammation, asthma, as well as antibiotics and antidiabetics. More revenue comes from India than any other country or region.

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