GURUFOCUS.COM » STOCK LIST » Financial Services » Asset Management » Principal Financial Group Inc (BSP:P1FG34) » Definitions » Cyclically Adjusted Price-to-FCF

Principal Financial Group (BSP:P1FG34) Cyclically Adjusted Price-to-FCF : 5.14 (As of Jun. 10, 2024)


View and export this data going back to 2020. Start your Free Trial

What is Principal Financial Group Cyclically Adjusted Price-to-FCF?

As of today (2024-06-10), Principal Financial Group's current share price is R$337.31. Principal Financial Group's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was R$65.62. Principal Financial Group's Cyclically Adjusted Price-to-FCF for today is 5.14.

The historical rank and industry rank for Principal Financial Group's Cyclically Adjusted Price-to-FCF or its related term are showing as below:

BSP:P1FG34' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 1.97   Med: 4.85   Max: 6.97
Current: 4.72

During the past years, Principal Financial Group's highest Cyclically Adjusted Price-to-FCF was 6.97. The lowest was 1.97. And the median was 4.85.

BSP:P1FG34's Cyclically Adjusted Price-to-FCF is ranked better than
85.32% of 504 companies
in the Asset Management industry
Industry Median: 19.72 vs BSP:P1FG34: 4.72

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.

Principal Financial Group's adjusted free cash flow per share data for the three months ended in Mar. 2024 was R$11.803. Add all the adjusted free cash flow per share for the past 10 years together and divide 10 will get our Cyclically Adjusted FCF per Share, which is R$65.62 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Principal Financial Group Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Principal Financial Group'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.

* Premium members only.

Principal Financial Group Cyclically Adjusted Price-to-FCF Chart

Principal Financial Group Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted Price-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.22 3.68 4.96 5.44 4.77

Principal Financial Group Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted Price-to-FCF 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 4.73 4.67 4.36 4.77 5.14

Competitive Comparison of Principal Financial Group's Cyclically Adjusted Price-to-FCF

For the Asset Management subindustry, Principal Financial Group'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.


Principal Financial Group's Cyclically Adjusted Price-to-FCF Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, Principal Financial Group's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Principal Financial Group 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.

Principal Financial Group's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=337.31/65.62
=5.14

* 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.

Principal Financial Group's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, Principal Financial Group'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)
=11.803/131.7762*131.7762
=11.803

Current CPI (Mar. 2024) = 131.7762.

Principal Financial Group Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 5.566 100.560 7.294
201409 6.241 100.428 8.189
201412 7.843 99.070 10.432
201503 6.294 99.621 8.326
201506 15.141 100.684 19.817
201509 15.385 100.392 20.195
201512 13.272 99.792 17.526
201603 10.697 100.470 14.030
201606 14.035 101.688 18.188
201609 8.566 101.861 11.082
201612 10.148 101.863 13.128
201703 5.124 102.862 6.564
201706 14.027 103.349 17.885
201709 18.921 104.136 23.943
201712 5.909 104.011 7.486
201803 8.066 105.290 10.095
201806 11.398 106.317 14.127
201809 29.208 106.507 36.138
201812 19.386 105.998 24.101
201903 15.683 107.251 19.269
201906 20.101 108.070 24.510
201909 25.673 108.329 31.230
201912 14.567 108.420 17.705
202003 27.694 108.902 33.511
202006 8.069 108.767 9.776
202009 20.051 109.815 24.061
202012 10.635 109.897 12.752
202103 2.407 111.754 2.838
202106 17.794 114.631 20.455
202109 17.674 115.734 20.124
202112 23.732 117.630 26.586
202203 0.115 121.301 0.125
202206 15.605 125.017 16.449
202209 23.656 125.227 24.893
202212 23.843 125.222 25.091
202303 14.207 127.348 14.701
202306 21.631 128.729 22.143
202309 20.798 129.860 21.105
202312 18.602 129.419 18.941
202403 11.803 131.776 11.803

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.


Principal Financial Group  (BSP:P1FG34) 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.


Principal Financial Group Cyclically Adjusted Price-to-FCF Related Terms

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


Principal Financial Group (BSP:P1FG34) Business Description

Traded in Other Exchanges
Address
711 High Street, Des Moines, IA, USA, 50392
Principal Financial Group Inc is a leader in Global investment management offering businesses, individuals and institutional clients a wide range of financial products and services, including retirement, asset management and insurance through our diverse family of financial services companies. It operates in four business segments that are Retirement and Income Solutions, Principal Global Investors, Principal International, and United States Insurance Solutions. The company receives maximum revenue in the form of premiums.

Principal Financial Group (BSP:P1FG34) Headlines

No Headlines