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Wells Fargo (BUE:WFC) Cyclically Adjusted FCF per Share : ARS773.57 (As of Mar. 2024)


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What is Wells Fargo 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.

Wells Fargo's adjusted free cash flow per share for the three months ended in Mar. 2024 was ARS-14,187.540. 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 ARS773.57 for the trailing ten years ended in Mar. 2024.

During the past 12 months, Wells Fargo's average Cyclically Adjusted FCF Growth Rate was -14.90% per year. During the past 3 years, the average Cyclically Adjusted FCF Growth Rate was -6.10% per year. During the past 5 years, the average Cyclically Adjusted FCF Growth Rate was -6.60% per year. During the past 10 years, the average Cyclically Adjusted FCF Growth Rate was -1.10% 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 Wells Fargo was 76.00% per year. The lowest was -38.00% per year. And the median was 6.40% per year.

As of today (2024-05-14), Wells Fargo's current stock price is ARS13139.00. Wells Fargo's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was ARS773.57. Wells Fargo's Cyclically Adjusted Price-to-FCF of today is 16.98.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of Wells Fargo was 17.19. The lowest was 4.05. And the median was 10.62.


Wells Fargo Cyclically Adjusted FCF per Share Historical Data

The historical data trend for Wells Fargo'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.

Wells Fargo Cyclically Adjusted FCF per Share Chart

Wells Fargo 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 76.62 136.28 185.88 281.18 783.22

Wells Fargo 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 344.35 403.97 639.97 783.22 773.57

Competitive Comparison of Wells Fargo's Cyclically Adjusted FCF per Share

For the Banks - Diversified subindustry, Wells Fargo'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.


Wells Fargo's Cyclically Adjusted Price-to-FCF Distribution in the Banks Industry

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

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



Wells Fargo 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, Wells Fargo'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)
=-14187.54/129.4194*129.4194
=-14,187.540

Current CPI (Mar. 2024) = 129.4194.

Wells Fargo Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 -24.592 100.560 -31.650
201409 119.395 100.428 153.862
201412 23.199 99.070 30.306
201503 21.151 99.621 27.478
201506 -14.368 100.684 -18.469
201509 171.408 100.392 220.970
201512 -48.702 99.792 -63.161
201603 84.025 100.470 108.236
201606 -100.175 101.688 -127.494
201609 -35.092 101.861 -44.586
201612 75.320 101.863 95.696
201703 199.736 102.862 251.304
201706 -70.793 103.349 -88.651
201709 167.141 104.136 207.722
201712 5.290 104.011 6.582
201803 311.182 105.290 382.498
201806 -21.607 106.317 -26.302
201809 253.989 106.507 308.629
201812 603.219 105.998 736.507
201903 339.010 107.251 409.084
201906 -33.248 108.070 -39.816
201909 -826.544 108.329 -987.459
201912 877.096 108.420 1,046.976
202003 1,296.306 108.902 1,540.540
202006 1,343.937 108.767 1,599.116
202009 -770.391 109.815 -907.924
202012 -2,204.130 109.897 -2,595.682
202103 -374.703 111.754 -433.932
202106 -918.786 114.631 -1,037.314
202109 -574.909 115.734 -642.890
202112 613.485 117.630 674.974
202203 27.614 121.301 29.462
202206 1,195.235 125.017 1,237.326
202209 2,182.457 125.227 2,255.531
202212 1,584.637 125.222 1,637.756
202303 1,915.646 127.348 1,946.808
202306 -243.228 128.729 -244.533
202309 7,371.047 129.860 7,346.066
202312 8,984.525 129.419 8,984.525
202403 -14,187.540 129.419 -14,187.540

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


Wells Fargo  (BUE:WFC) 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.

Wells Fargo's Cyclically Adjusted Price-to-FCF of today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/Cyclically Adjusted FCF per Share
=13139.00/773.57
=16.98

* 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 Wells Fargo was 17.19. The lowest was 4.05. And the median was 10.62.


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.


Wells Fargo Cyclically Adjusted FCF per Share Related Terms

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


Wells Fargo (BUE:WFC) Business Description

Industry
Address
420 Montgomery Street, San Francisco, CA, USA, 94104
Wells Fargo is one of the largest banks in the United States, with approximately $1.9 trillion in balance sheet assets. The company has four primary segments: consumer banking, commercial banking, corporate and investment banking, and wealth and investment management. It is almost entirely focused on the U.S.