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United Therapeutics (BSP:U2TH34) Cyclically Adjusted FCF per Share : R$2.90 (As of Mar. 2024)


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What is United Therapeutics 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.

United Therapeutics's adjusted free cash flow per share for the three months ended in Mar. 2024 was R$33.897. 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 R$2.90 for the trailing ten years ended in Mar. 2024.

During the past 12 months, United Therapeutics's average Cyclically Adjusted FCF Growth Rate was 8.70% per year. During the past 3 years, the average Cyclically Adjusted FCF Growth Rate was 13.20% per year. During the past 5 years, the average Cyclically Adjusted FCF Growth Rate was 11.80% per year. During the past 10 years, the average Cyclically Adjusted FCF Growth Rate was 20.30% 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 United Therapeutics was 76.90% per year. The lowest was 8.30% per year. And the median was 23.85% per year.

As of today (2024-05-27), United Therapeutics's current stock price is R$56.21. United Therapeutics's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was R$2.90. United Therapeutics's Cyclically Adjusted Price-to-FCF of today is 19.38.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of United Therapeutics was 78.63. The lowest was 12.65. And the median was 23.43.


United Therapeutics Cyclically Adjusted FCF per Share Historical Data

The historical data trend for United Therapeutics'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.

United Therapeutics Cyclically Adjusted FCF per Share Chart

United Therapeutics Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted FCF per Share
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - - - 2.93

United Therapeutics 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 - - 2.88 2.93 2.90

Competitive Comparison of United Therapeutics's Cyclically Adjusted FCF per Share

For the Biotechnology subindustry, United Therapeutics'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.


United Therapeutics's Cyclically Adjusted Price-to-FCF Distribution in the Biotechnology Industry

For the Biotechnology industry and Healthcare sector, United Therapeutics's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



United Therapeutics 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, United Therapeutics'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)
=33.897/131.7762*131.7762
=33.897

Current CPI (Mar. 2024) = 131.7762.

United Therapeutics Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 -2.827 100.560 -3.705
201409 9.634 100.428 12.641
201412 4.348 99.070 5.783
201503 7.070 99.621 9.352
201506 2.230 100.684 2.919
201509 15.294 100.392 20.075
201512 -0.469 99.792 -0.619
201603 8.869 100.470 11.633
201606 8.416 101.688 10.906
201609 15.463 101.861 20.004
201612 11.395 101.863 14.741
201703 14.663 102.862 18.785
201706 3.655 103.349 4.660
201709 16.799 104.136 21.258
201712 -8.507 104.011 -10.778
201803 17.784 105.290 22.258
201806 10.974 106.317 13.602
201809 18.302 106.507 22.644
201812 2.966 105.998 3.687
201903 -57.347 107.251 -70.461
201906 9.867 108.070 12.031
201909 16.085 108.329 19.566
201912 7.291 108.420 8.862
202003 22.337 108.902 27.029
202006 17.038 108.767 20.642
202009 28.465 109.815 34.158
202012 12.964 109.897 15.545
202103 9.619 111.754 11.342
202106 14.022 114.631 16.119
202109 18.000 115.734 20.495
202112 12.278 117.630 13.755
202203 28.711 121.301 31.190
202206 11.544 125.017 12.168
202209 20.436 125.227 21.505
202212 9.418 125.222 9.911
202303 35.022 127.348 36.240
202306 6.040 128.729 6.183
202309 27.873 129.860 28.284
202312 7.056 129.419 7.184
202403 33.897 131.776 33.897

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


United Therapeutics  (BSP:U2TH34) 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.

United Therapeutics's Cyclically Adjusted Price-to-FCF of today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/Cyclically Adjusted FCF per Share
=56.21/2.9
=19.38

* 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 13 years, the highest Cyclically Adjusted Price-to-FCF of United Therapeutics was 78.63. The lowest was 12.65. And the median was 23.43.


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.


United Therapeutics Cyclically Adjusted FCF per Share Related Terms

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


United Therapeutics (BSP:U2TH34) Business Description

Traded in Other Exchanges
Address
1040 Spring Street, Silver Spring, MD, USA, 20910
United Therapeutics specializes in drug development for pulmonary arterial hypertension, a rare and progressive disease marked by abnormally high blood pressure in the arteries of the lungs. The company's therapies for PAH largely focus on the prostacyclin pathway, and many of its treatments are based on the same molecule, treprostinil. Most of the company's sales are generated within the United States. United Therapeutics also markets a pediatric oncology drug, but its focus largely remains in pulmonary arterial hypertension.

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