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TIM (BSP:TIMS3) Cyclically Adjusted Price-to-FCF : 12.83 (As of May. 13, 2024)


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What is TIM Cyclically Adjusted Price-to-FCF?

As of today (2024-05-13), TIM's current share price is R$16.68. TIM's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 was R$1.30. TIM's Cyclically Adjusted Price-to-FCF for today is 12.83.

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

BSP:TIMS3' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 10.31   Med: 35.05   Max: 1065
Current: 12.8

During the past years, TIM's highest Cyclically Adjusted Price-to-FCF was 1065.00. The lowest was 10.31. And the median was 35.05.

BSP:TIMS3's Cyclically Adjusted Price-to-FCF is ranked better than
51.83% of 191 companies
in the Telecommunication Services industry
Industry Median: 13.73 vs BSP:TIMS3: 12.80

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.

TIM's adjusted free cash flow per share data for the three months ended in Dec. 2023 was R$1.469. 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$1.30 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


TIM Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for TIM'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.

TIM Cyclically Adjusted Price-to-FCF Chart

TIM 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 32.91 22.17 13.97 11.78 13.76

TIM Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 11.78 10.28 11.42 11.46 13.76

Competitive Comparison of TIM's Cyclically Adjusted Price-to-FCF

For the Telecom Services subindustry, TIM'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.


TIM's Cyclically Adjusted Price-to-FCF Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, TIM's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



TIM 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.

TIM's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=16.68/1.3
=12.83

* 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.

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

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

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=1.469/156.2729*156.2729
=1.469

Current CPI (Dec. 2023) = 156.2729.

TIM Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201403 -0.676 90.447 -1.168
201406 0.269 91.838 0.458
201409 0.338 92.602 0.570
201412 -0.100 94.194 -0.166
201503 -0.676 97.799 -1.080
201506 0.041 100.006 0.064
201509 0.091 101.392 0.140
201512 0.343 104.247 0.514
201603 -0.627 106.979 -0.916
201606 0.097 108.851 0.139
201609 0.322 109.986 0.458
201612 0.410 110.802 0.578
201703 -0.575 111.869 -0.803
201706 0.125 112.115 0.174
201709 0.343 112.777 0.475
201712 0.639 114.068 0.875
201803 0.019 114.868 0.026
201806 -0.058 117.038 -0.077
201809 0.348 117.881 0.461
201812 0.639 118.340 0.844
201903 -0.146 120.124 -0.190
201906 0.047 120.977 0.061
201909 0.487 121.292 0.627
201912 0.926 123.436 1.172
202003 -0.172 124.092 -0.217
202006 0.674 123.557 0.852
202009 0.553 125.095 0.691
202012 0.923 129.012 1.118
202103 0.259 131.660 0.307
202106 0.552 133.871 0.644
202109 0.775 137.913 0.878
202112 0.399 141.992 0.439
202203 -0.086 146.537 -0.092
202206 0.053 149.784 0.055
202209 0.877 147.800 0.927
202212 0.852 150.207 0.886
202303 0.284 153.352 0.289
202306 0.492 154.519 0.498
202309 1.042 155.464 1.047
202312 1.469 156.273 1.469

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.


TIM  (BSP:TIMS3) 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.


TIM Cyclically Adjusted Price-to-FCF Related Terms

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


TIM (BSP:TIMS3) Business Description

Traded in Other Exchanges
Address
Avenida Joao Cabral de Melo Neto, 850, Torre Norte, 12th Floor, Room 1212, Barra da Tijuca, Rio de Janeiro, RJ, BRA, 22775-057
TIM, which is 67%-owned by Telecom Italia, is the third largest wireless carrier in Brazil, with 61 million subscribers, equal to about 24% of the market. The firm also owns 49% of I-Systems, an infrastructure partnership that is expanding its network footprint across Brazil. I-Systems can provide broadband service to about 9 million locations, equal to a bit less than 15% of the country. TIM leases capacity on the venture's network to serve retail broadband customers under the UltraFibra brand.

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