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Avid Technology (Avid Technology) Cyclically Adjusted Price-to-FCF : (As of May. 23, 2024)


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What is Avid Technology Cyclically Adjusted Price-to-FCF?

Shiller PE for Stocks: The True Measure of Stock Valuation


Avid Technology Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Avid Technology's Cyclically Adjusted Price-to-FCF 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.

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Avid Technology Cyclically Adjusted Price-to-FCF Chart

Avid Technology Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Cyclically Adjusted Price-to-FCF
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Avid Technology Quarterly Data
Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
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Competitive Comparison of Avid Technology's Cyclically Adjusted Price-to-FCF

For the Software - Application subindustry, Avid Technology'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.


Avid Technology's Cyclically Adjusted Price-to-FCF Distribution in the Software Industry

For the Software industry and Technology sector, Avid Technology's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Avid Technology Cyclically Adjusted Price-to-FCF Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted Price-to-FCF takes the Free Cash Flow per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/FCF calculation. Because it considers this 10-year average, it's often referred to as the CAPFCF 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 Price-to-FCF.

Avid Technology's Cyclically Adjusted FCF per Share for the quarter that ended in Sep. 2023 is calculated as:

For example, Avid Technology's adjusted Free Cash Flow per Share data for the three months ended in Sep. 2023 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Sep. 2023 (Change)*Current CPI (Sep. 2023)
=-0.349/129.8595*129.8595
=-0.349

Current CPI (Sep. 2023) = 129.8595.

Avid Technology Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201312 -0.045 98.326 -0.059
201403 -0.703 99.695 -0.916
201406 -0.127 100.560 -0.164
201409 0.000 100.428 0.000
201412 0.235 99.070 0.308
201503 0.043 99.621 0.056
201506 -0.874 100.684 -1.127
201509 -0.358 100.392 -0.463
201512 -0.055 99.792 -0.072
201603 -0.397 100.470 -0.513
201606 -0.921 101.688 -1.176
201609 -0.155 101.861 -0.198
201612 -0.039 101.863 -0.050
201703 0.044 102.862 0.056
201706 0.028 103.349 0.035
201709 -0.072 104.136 -0.090
201712 0.026 104.011 0.032
201803 0.079 105.290 0.097
201806 -0.209 106.317 -0.255
201809 -0.152 106.507 -0.185
201812 0.422 105.998 0.517
201903 0.110 107.251 0.133
201906 -0.106 108.070 -0.127
201909 -0.105 108.329 -0.126
201912 0.365 108.420 0.437
202003 -0.164 108.902 -0.196
202006 -0.119 108.767 -0.142
202009 0.347 109.815 0.410
202012 0.666 109.897 0.787
202103 0.239 111.754 0.278
202106 0.120 114.631 0.136
202109 0.303 115.734 0.340
202112 0.545 117.630 0.602
202203 0.103 121.301 0.110
202206 0.071 125.017 0.074
202209 0.148 125.227 0.153
202212 0.414 125.222 0.429
202303 -0.148 127.348 -0.151
202306 -0.447 128.729 -0.451
202309 -0.349 129.860 -0.349

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


Avid Technology  (NAS:AVID) Cyclically Adjusted Price-to-FCF Explanation

Compared with the regular Price-to-Free-Cash-Flow, which works poorly for cyclical businesses, the Cyclically Adjusted Price-to-FCF smoothed out the fluctuations of free cash flow 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 Price-to-FCF should give similar results to regular Price-to-Free-Cash-Flow.


Avid Technology Cyclically Adjusted Price-to-FCF Related Terms

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


Avid Technology (Avid Technology) Business Description

Industry
Traded in Other Exchanges
N/A
Address
75 Blue Sky Drive, Burlington, MA, USA, 01803
Avid Technology Inc develops and sells software and hardware for digital media production and management. Its products are used in production, film studios, cable television stations, recording studios, and other agencies. The company has operations in the U.S.; the Americas; Europe, Middle East, and Africa; and Asia-Pacific. Most of its revenue is split fairly evenly between the U.S. and EMEA. The company's products are organized into suites, including Artist Suite, which includes video editing and digital audio workstations; Media Suite, which provides newsroom management solutions; Studio Suite, which provides tools for on-air programming; and Storage Suite, which provides products for digital storage. It derives most of the revenue from video and audio products and services.
Executives
Kenneth L Gayron officer: EVP & Chief Financial Officer 75 NETWORK DRIVE, BURLINGTON MA 34212
Timothy Claman officer: SVP & GM Video Post & Storage 75 NETWORK DRIVE, BURLINGTON MA 01803
Cordiner Tom J. A. officer: SVP of Global Sales PINEWOOD ROAD, IVER HEATH, BUCKINGHAMSHIRE, ENGLAND X0 01803
David Toomey officer: SVP & GM Audio and Music 75 NETWORK DRIVE, BURLINGTON MA 01830
Mariesa Victoria officer: VP & Chief Accounting Officer 75 NETWORK DRIVE, BURLINGTON MA 01803
Christian Asmar director 152 WEST 57TH STREET, 17TH FLOOR, NEW YORK CITY NY 10019
Dana Ruzicka officer: VP, Chief Product Officer 75 NETWORK DRIVE, BURLINGTON MA 01803
Nancy Hawthorne director AVID TECHNOLOGY, INC., 75 NETWORK DRIVE, BURLINGTON MA 01803
Robert M Bakish director AVID TECHNOLOGY, INC., 75 NETWORK DRIVE, BURLINGTON MA 01803
Lior Netzer officer: SVP & GM, Media & Cloud 75 NETWORK DRIVE, BURLINGTON MA 01803
Kevin W. Riley officer: Chief Technology Officer 75 NETWORK DRIVE, BURLINGTON MA 01803
Garrard Brown officer: Chief Accounting Officer, other: Principal Accounting Officer AVID TECHNOLOGY, INC., 75 NETWORK DRIVE, BURLINGTON MA 01803
Jason A Duva officer: Senior VP & General Counsel, other: Corporate Secretary AVID TECHNOLOGY, INC., 75 NETWORK DRIVE, BURLINGTON MA 01803
Lauren Taylor Wolfe 10 percent owner 3100 CUMBERLAND BOULEVARD, SUITE 1700, ATLANTA GA 30339
Impactive Capital Llc 10 percent owner 152 WEST 57TH, 17TH FLOOR, NEW YORK CITY NY 10019