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Fanhua (Fanhua) Cyclically Adjusted PB Ratio : 0.43 (As of May. 21, 2024)


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What is Fanhua Cyclically Adjusted PB Ratio?

As of today (2024-05-21), Fanhua's current share price is $3.26. Fanhua's Cyclically Adjusted Book per Share for the quarter that ended in Dec. 2023 was $7.52. Fanhua's Cyclically Adjusted PB Ratio for today is 0.43.

The historical rank and industry rank for Fanhua's Cyclically Adjusted PB Ratio or its related term are showing as below:

FANH' s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 0.44   Med: 0.96   Max: 3.33
Current: 0.44

During the past years, Fanhua's highest Cyclically Adjusted PB Ratio was 3.33. The lowest was 0.44. And the median was 0.96.

FANH's Cyclically Adjusted PB Ratio is ranked better than
86.27% of 415 companies
in the Insurance industry
Industry Median: 1.19 vs FANH: 0.44

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 PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

Fanhua's adjusted book value per share data for the three months ended in Dec. 2023 was $5.115. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is $7.52 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


Fanhua Cyclically Adjusted PB Ratio Historical Data

The historical data trend for Fanhua's Cyclically Adjusted PB Ratio 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.

Fanhua Cyclically Adjusted PB Ratio Chart

Fanhua Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.32 1.13 0.73 0.90 0.88

Fanhua Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Cyclically Adjusted PB Ratio 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 0.90 1.08 1.06 0.93 0.88

Competitive Comparison of Fanhua's Cyclically Adjusted PB Ratio

For the Insurance Brokers subindustry, Fanhua's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio 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.


Fanhua's Cyclically Adjusted PB Ratio Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, Fanhua's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where Fanhua's Cyclically Adjusted PB Ratio falls into.



Fanhua Cyclically Adjusted PB Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.

Fanhua's Cyclically Adjusted PB Ratio for today is calculated as

Cyclically Adjusted PB Ratio=Share Price/ Cyclically Adjusted Book per Share
=3.26/7.52
=0.43

* 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.

Fanhua's Cyclically Adjusted Book per Share for the quarter that ended in Dec. 2023 is calculated as:

For example, Fanhua's adjusted Book Value per Share data for the three months ended in Dec. 2023 was:

Adj_Book=Book Value per Share/CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=5.115/114.7809*114.7809
=5.115

Current CPI (Dec. 2023) = 114.7809.

Fanhua Quarterly Data

Book Value per Share CPI Adj_Book
201403 10.014 98.600 11.657
201406 10.090 98.200 11.794
201409 8.996 98.900 10.441
201412 9.018 99.000 10.455
201503 8.780 99.900 10.088
201506 8.968 99.500 10.345
201509 8.796 100.500 10.046
201512 8.907 100.600 10.163
201603 8.882 102.200 9.975
201606 8.365 101.400 9.469
201609 8.260 102.400 9.259
201612 8.154 102.600 9.122
201703 7.893 103.200 8.779
201706 8.746 103.100 9.737
201709 8.864 104.100 9.773
201712 9.045 104.500 9.935
201803 9.595 105.300 10.459
201806 9.557 104.900 10.457
201809 6.399 106.600 6.890
201812 6.008 106.500 6.475
201903 6.924 107.700 7.379
201906 5.966 107.700 6.358
201909 5.897 109.800 6.165
201912 5.128 111.200 5.293
202003 4.941 112.300 5.050
202006 4.936 110.400 5.132
202009 5.109 111.700 5.250
202012 5.222 111.500 5.376
202103 5.352 112.662 5.453
202106 5.476 111.769 5.624
202109 5.409 112.215 5.533
202112 5.372 113.108 5.451
202203 5.116 114.335 5.136
202206 4.225 114.558 4.233
202209 4.139 115.339 4.119
202212 4.341 115.116 4.328
202303 4.757 115.116 4.743
202306 4.751 114.558 4.760
202309 5.104 115.339 5.079
202312 5.115 114.781 5.115

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book 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.


Fanhua  (NAS:FANH) Cyclically Adjusted PB Ratio Explanation

Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.


Fanhua Cyclically Adjusted PB Ratio Related Terms

Thank you for viewing the detailed overview of Fanhua's Cyclically Adjusted PB Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Fanhua (Fanhua) Business Description

Industry
Traded in Other Exchanges
Address
No.15 West Zhujiang Road, 60th Floor, Pearl River Tower, Guangdong, Guangzhou, CHN, 510623
Fanhua Inc is an independent insurance intermediary company operating in China. The company sells insurance product offerings from various insurance companies through their online platforms Lan Zhanggui, Baowang, and eHuzhu. The company's segments include the insurance agency segment, which mainly consists of providing agency services for distributing life insurance products and P&C insurance products on behalf of insurance companies; and the claims adjusting segment, which consists of providing pre-underwriting survey services, claim adjusting services, disposal of residual value services, loading and unloading supervision services, and consulting services. The insurance agency segment contributes to the majority of the revenue. The company generates all of its revenues from China.