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Alibaba Group Holding (FRA:AHLA) Cyclically Adjusted FCF per Share : €7.76 (As of Mar. 2024)


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What is Alibaba Group Holding 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.

Alibaba Group Holding's adjusted free cash flow per share for the three months ended in Mar. 2024 was €1.194. 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 €7.76 for the trailing ten years ended in Mar. 2024.

During the past 12 months, Alibaba Group Holding's average Cyclically Adjusted FCF Growth Rate was 12.60% per year. During the past 3 years, the average Cyclically Adjusted FCF Growth Rate was 8.10% 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 Alibaba Group Holding was 8.10% per year. The lowest was 8.10% per year. And the median was 8.10% per year.

As of today (2024-05-22), Alibaba Group Holding's current stock price is €79.30. Alibaba Group Holding's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was €7.76. Alibaba Group Holding's Cyclically Adjusted Price-to-FCF of today is 10.22.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of Alibaba Group Holding was 52.35. The lowest was 8.21. And the median was 14.40.


Alibaba Group Holding Cyclically Adjusted FCF per Share Historical Data

The historical data trend for Alibaba Group Holding'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.

Alibaba Group Holding Cyclically Adjusted FCF per Share Chart

Alibaba Group Holding 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 - 5.69 6.62 6.86 7.76

Alibaba Group Holding 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 6.86 7.05 7.52 7.43 7.76

Competitive Comparison of Alibaba Group Holding's Cyclically Adjusted FCF per Share

For the Internet Retail subindustry, Alibaba Group Holding'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.


Alibaba Group Holding's Cyclically Adjusted Price-to-FCF Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Alibaba Group Holding's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

* The bar in red indicates where Alibaba Group Holding's Cyclically Adjusted Price-to-FCF falls into.



Alibaba Group Holding 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, Alibaba Group Holding'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)
=1.194/117.7354*117.7354
=1.194

Current CPI (Mar. 2024) = 117.7354.

Alibaba Group Holding Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 0.504 96.409 0.615
201409 0.304 97.948 0.365
201412 0.983 99.707 1.161
201503 0.329 99.927 0.388
201506 0.577 99.267 0.684
201509 0.825 99.927 0.972
201512 1.464 102.015 1.690
201603 0.276 102.785 0.316
201606 0.787 101.686 0.911
201609 0.896 102.565 1.029
201612 1.994 103.225 2.274
201703 0.696 103.335 0.793
201706 1.302 103.664 1.479
201709 1.476 103.994 1.671
201712 2.717 104.984 3.047
201803 0.705 105.973 0.783
201806 1.820 106.193 2.018
201809 1.494 106.852 1.646
201812 3.170 107.622 3.468
201903 0.932 108.172 1.014
201906 1.686 109.601 1.811
201909 2.291 110.260 2.446
201912 4.631 110.700 4.925
202003 0.102 110.920 0.108
202006 2.292 110.590 2.440
202009 2.466 107.512 2.700
202012 4.713 109.711 5.058
202103 1.133 111.579 1.196
202106 1.576 111.360 1.666
202109 1.732 109.051 1.870
202112 4.114 112.349 4.311
202203 -0.373 113.558 -0.387
202206 1.790 113.448 1.858
202209 2.562 113.778 2.651
202212 4.526 114.548 4.652
202303 1.630 115.427 1.663
202306 2.267 115.647 2.308
202309 2.464 116.087 2.499
202312 3.272 117.296 3.284
202403 1.194 117.735 1.194

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


Alibaba Group Holding  (FRA:AHLA) 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.

Alibaba Group Holding's Cyclically Adjusted Price-to-FCF of today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/Cyclically Adjusted FCF per Share
=79.30/7.76
=10.22

* 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 Alibaba Group Holding was 52.35. The lowest was 8.21. And the median was 14.40.


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.


Alibaba Group Holding Cyclically Adjusted FCF per Share Related Terms

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


Alibaba Group Holding (FRA:AHLA) Business Description

Address
1 Matheson Street, Causeway Bay, 26th Floor, Tower One, Times Square, Hong Kong, HKG
Alibaba is the world's largest online and mobile commerce company as measured by gross merchandise volume (CNY 8.3 trillion for the fiscal year ended March 2022). It operates China's online marketplaces, including Taobao (consumer-to-consumer) and Tmall (business-to-consumer). Alibaba's China commerce retail division accounted for 67% of revenue in the year ended March 2022. Additional revenue sources include China commerce wholesale (2%), international commerce retail/wholesale (5%/2%), local consumer services (5%), cloud computing (9%), digital media and entertainment platforms (4%), Cainiao logistics services (5%), and innovation initiatives/other (1%).

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