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CenterPoint Energy (FRA:HOU) Cyclically Adjusted Price-to-FCF : (As of Jun. 10, 2024)


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What is CenterPoint Energy Cyclically Adjusted Price-to-FCF?

Shiller PE for Stocks: The True Measure of Stock Valuation


CenterPoint Energy Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for CenterPoint Energy'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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CenterPoint Energy Cyclically Adjusted Price-to-FCF Chart

CenterPoint Energy 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 52.09 47.64 - - -

CenterPoint Energy Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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Competitive Comparison of CenterPoint Energy's Cyclically Adjusted Price-to-FCF

For the Utilities - Regulated Electric subindustry, CenterPoint Energy'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.


CenterPoint Energy's Cyclically Adjusted Price-to-FCF Distribution in the Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, CenterPoint Energy's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



CenterPoint Energy 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.

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

For example, CenterPoint Energy'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)
=-0.446/131.7762*131.7762
=-0.446

Current CPI (Mar. 2024) = 131.7762.

CenterPoint Energy Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 0.014 100.560 0.018
201409 0.070 100.428 0.092
201412 -0.188 99.070 -0.250
201503 0.697 99.621 0.922
201506 0.175 100.684 0.229
201509 -0.048 100.392 -0.063
201512 -0.216 99.792 -0.285
201603 0.633 100.470 0.830
201606 0.153 101.688 0.198
201609 0.060 101.861 0.078
201612 0.219 101.863 0.283
201703 0.011 102.862 0.014
201706 0.047 103.349 0.060
201709 0.012 104.136 0.015
201712 -0.084 104.011 -0.106
201803 0.228 105.290 0.285
201806 0.543 106.317 0.673
201809 0.319 106.507 0.395
201812 -0.127 105.998 -0.158
201903 -0.467 107.251 -0.574
201906 -0.577 108.070 -0.704
201909 -0.254 108.329 -0.309
201912 -0.235 108.420 -0.286
202003 0.370 108.902 0.448
202006 -0.505 108.767 -0.612
202009 -0.547 109.815 -0.656
202012 -0.226 109.897 -0.271
202103 -3.029 111.754 -3.572
202106 -0.256 114.631 -0.294
202109 -0.288 115.734 -0.328
202112 -0.663 117.630 -0.743
202203 -0.383 121.301 -0.416
202206 -0.952 125.017 -1.003
202209 -1.359 125.227 -1.430
202212 -1.283 125.222 -1.350
202303 0.870 127.348 0.900
202306 -0.535 128.729 -0.548
202309 -0.706 129.860 -0.716
202312 -0.391 129.419 -0.398
202403 -0.446 131.776 -0.446

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.


CenterPoint Energy  (FRA:HOU) 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.


CenterPoint Energy Cyclically Adjusted Price-to-FCF Related Terms

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CenterPoint Energy (FRA:HOU) Business Description

Traded in Other Exchanges
Address
1111 Louisiana, Houston, TX, USA, 77002
CenterPoint Energy owns a portfolio of businesses. Its regulated electric utilities provide transmission and distribution services to more than 2.5 million customers in the Houston area, southern Indiana, and west central Ohio. The company has natural gas distribution systems in six states serving approximately 4 million customers.

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