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Gap (STU:GAP) Cyclically Adjusted Price-to-FCF : (As of Jun. 01, 2024)


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What is Gap Cyclically Adjusted Price-to-FCF?

Shiller PE for Stocks: The True Measure of Stock Valuation


Gap Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Gap'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.

Gap Cyclically Adjusted Price-to-FCF Chart

Gap Annual Data
Trend Jan14 Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23
Cyclically Adjusted Price-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 10.53 7.57 9.83 8.82 7.49

Gap Quarterly Data
Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24
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 5.48 5.76 6.81 10.02 -

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

For the Apparel Retail subindustry, Gap'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.


Gap's Cyclically Adjusted Price-to-FCF Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Gap's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Gap 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.

Gap's Cyclically Adjusted FCF per Share for the quarter that ended in Apr. 2024 is calculated as:

For example, Gap's adjusted Free Cash Flow per Share data for the three months ended in Apr. 2024 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Apr. 2024 (Change)*Current CPI (Apr. 2024)
=-0.153/131.7762*131.7762
=-0.153

Current CPI (Apr. 2024) = 131.7762.

Gap Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201407 0.529 100.520 0.693
201410 -0.112 100.176 -0.147
201501 1.627 98.604 2.174
201504 0.133 99.824 0.176
201507 0.609 100.691 0.797
201510 -0.245 100.346 -0.322
201601 1.468 99.957 1.935
201604 0.064 100.947 0.084
201607 0.987 101.524 1.281
201610 -0.107 101.988 -0.138
201701 1.819 102.456 2.340
201704 -0.044 103.167 -0.056
201707 0.504 103.278 0.643
201710 -0.160 104.070 -0.203
201801 1.068 104.578 1.346
201804 -0.423 105.708 -0.527
201807 0.931 106.324 1.154
201810 -0.366 106.695 -0.452
201901 1.419 106.200 1.761
201904 -1.119 107.818 -1.368
201907 0.930 108.250 1.132
201910 -0.611 108.577 -0.742
202001 1.691 108.841 2.047
202004 -2.626 108.173 -3.199
202007 1.784 109.318 2.151
202010 0.908 109.861 1.089
202101 -0.579 110.364 -0.691
202104 0.469 112.673 0.549
202107 0.673 115.183 0.770
202110 -0.750 116.696 -0.847
202201 -0.190 118.619 -0.211
202204 -1.477 121.978 -1.596
202207 -0.062 125.002 -0.065
202210 -0.211 125.734 -0.221
202301 1.545 126.223 1.613
202304 -0.253 127.992 -0.260
202307 1.050 128.974 1.073
202310 0.543 129.810 0.551
202401 1.354 130.124 1.371
202404 -0.153 131.776 -0.153

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.


Gap  (STU:GAP) 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.


Gap Cyclically Adjusted Price-to-FCF Related Terms

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


Gap (STU:GAP) Business Description

Industry
Traded in Other Exchanges
Address
Two Folsom Street, San Francisco, CA, USA, 94105
Gap retails apparel, accessories, and personal-care products under the Gap, Old Navy, Banana Republic, and Athleta brands. Old Navy generates more than half of Gap's sales. The firm also operates e-commerce sites, outlet stores, and specialty stores under various Gap names. Gap operates approximately 2,600 stores in North America, Europe, and Asia and franchises more than 900 stores in Asia, Europe, Latin America, and other regions. Gap was founded in 1969 and is based in San Francisco.

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