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Nordstrom (FRA:NRD) Cyclically Adjusted FCF per Share : €2.74 (As of Apr. 2024)


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What is Nordstrom 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.

Nordstrom's adjusted free cash flow per share for the three months ended in Apr. 2024 was €0.274. 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 €2.74 for the trailing ten years ended in Apr. 2024.

During the past 12 months, Nordstrom's average Cyclically Adjusted FCF Growth Rate was -5.60% per year. During the past 3 years, the average Cyclically Adjusted FCF Growth Rate was -2.00% per year. During the past 5 years, the average Cyclically Adjusted FCF Growth Rate was -6.80% per year. During the past 10 years, the average Cyclically Adjusted FCF Growth Rate was 1.40% 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 Nordstrom was 66.50% per year. The lowest was -18.90% per year. And the median was 10.60% per year.

As of today (2024-06-04), Nordstrom's current stock price is €20.25. Nordstrom's Cyclically Adjusted FCF per Share for the quarter that ended in Apr. 2024 was €2.74. Nordstrom's Cyclically Adjusted Price-to-FCF of today is 7.39.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of Nordstrom was 33.19. The lowest was 3.36. And the median was 12.36.


Nordstrom Cyclically Adjusted FCF per Share Historical Data

The historical data trend for Nordstrom'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.

Nordstrom Cyclically Adjusted FCF per Share Chart

Nordstrom Annual Data
Trend Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
Cyclically Adjusted FCF per Share
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.68 2.61 2.57 2.63 2.69

Nordstrom Quarterly Data
Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24
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 2.74 2.89 2.73 2.69 2.74

Competitive Comparison of Nordstrom's Cyclically Adjusted FCF per Share

For the Department Stores subindustry, Nordstrom'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.


Nordstrom's Cyclically Adjusted Price-to-FCF Distribution in the Retail - Cyclical Industry

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

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



Nordstrom 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, Nordstrom's adjusted Free Cash Flow per Share data for the three months ended in Apr. 2024 was:

Adj_FreeCashFlowPerShare= Free Cash Flow per Share /CPI of Apr. 2024 (Change)*Current CPI (Apr. 2024)
=0.274/131.7762*131.7762
=0.274

Current CPI (Apr. 2024) = 131.7762.

Nordstrom Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201407 -0.192 100.520 -0.252
201410 -0.377 100.176 -0.496
201501 2.035 98.604 2.720
201504 -0.242 99.824 -0.319
201507 -0.258 100.691 -0.338
201510 4.630 100.346 6.080
201601 2.547 99.957 3.358
201604 -0.145 100.947 -0.189
201607 2.475 101.524 3.213
201610 -1.026 101.988 -1.326
201701 2.992 102.456 3.848
201704 -0.353 103.167 -0.451
201707 1.528 103.278 1.950
201710 -0.867 104.070 -1.098
201801 2.947 104.578 3.713
201804 -0.752 105.708 -0.937
201807 2.423 106.324 3.003
201810 -0.565 106.695 -0.698
201901 2.250 106.200 2.792
201904 -1.595 107.818 -1.949
201907 2.820 108.250 3.433
201910 -2.228 108.577 -2.704
202001 2.720 108.841 3.293
202004 -5.347 108.173 -6.514
202007 0.498 109.318 0.600
202010 0.387 109.861 0.464
202101 0.073 110.364 0.087
202104 -2.584 112.673 -3.022
202107 4.251 115.183 4.863
202110 -2.186 116.696 -2.468
202201 1.444 118.619 1.604
202204 0.517 121.978 0.559
202207 0.404 125.002 0.426
202210 -1.546 125.734 -1.620
202301 3.206 126.223 3.347
202304 -0.510 127.992 -0.525
202307 1.828 128.974 1.868
202310 -2.941 129.810 -2.986
202401 1.737 130.124 1.759
202404 0.274 131.776 0.274

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


Nordstrom  (FRA:NRD) 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/Cyclically Adjusted FCF per Share
=20.25/2.74
=7.39

* 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 Nordstrom was 33.19. The lowest was 3.36. And the median was 12.36.


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.


Nordstrom Cyclically Adjusted FCF per Share Related Terms

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


Nordstrom (FRA:NRD) Business Description

Industry
Traded in Other Exchanges
Address
1617 Sixth Avenue, Seattle, WA, USA, 98101
Nordstrom is a fashion retailer that operates about 93 department stores and approximately 260 off-price Nordstrom Rack stores. The company also operates both full- and off-price e-commerce sites, two clearance stores, and seven Local locations. Nordstrom's largest merchandise categories are women's apparel (28% of 2022 sales), shoes (26% of 2022 sales), men's apparel (15% of 2022 sales), and women's accessories (13% of 2022 sales). Nordstrom, which traces its history to a shoe store opened in Seattle in 1901, continues to be partially owned and managed by members of the eponymous family.

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