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Canadian Tire (TSX:CTC.A) Cyclically Adjusted Price-to-FCF : 14.43 (As of May. 24, 2024)


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What is Canadian Tire Cyclically Adjusted Price-to-FCF?

As of today (2024-05-24), Canadian Tire's current share price is C$136.75. Canadian Tire's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was C$9.48. Canadian Tire's Cyclically Adjusted Price-to-FCF for today is 14.43.

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

TSX:CTC.A' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 13.48   Med: 33.23   Max: 77.03
Current: 15.2

During the past years, Canadian Tire's highest Cyclically Adjusted Price-to-FCF was 77.03. The lowest was 13.48. And the median was 33.23.

TSX:CTC.A's Cyclically Adjusted Price-to-FCF is ranked worse than
56.54% of 428 companies
in the Retail - Cyclical industry
Industry Median: 12.71 vs TSX:CTC.A: 15.20

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.

Canadian Tire's adjusted free cash flow per share data for the three months ended in Mar. 2024 was C$0.610. 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 C$9.48 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Canadian Tire Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Canadian Tire'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.

Canadian Tire Cyclically Adjusted Price-to-FCF Chart

Canadian Tire 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 24.72 19.96 20.58 17.24 15.45

Canadian Tire 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 23.24 21.20 17.76 15.45 14.25

Competitive Comparison of Canadian Tire's Cyclically Adjusted Price-to-FCF

For the Specialty Retail subindustry, Canadian Tire'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.


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

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

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



Canadian Tire 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=136.75/9.48
=14.43

* 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.

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

For example, Canadian Tire'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)
=0.61/126.2576*126.2576
=0.610

Current CPI (Mar. 2024) = 126.2576.

Canadian Tire Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 2.272 99.473 2.884
201409 -5.197 99.394 -6.602
201412 3.309 98.367 4.247
201503 -3.956 99.789 -5.005
201506 5.688 100.500 7.146
201509 -2.417 100.421 -3.039
201512 5.634 99.947 7.117
201603 -6.186 101.054 -7.729
201606 1.699 102.002 2.103
201609 -0.722 101.765 -0.896
201612 8.274 101.449 10.297
201703 -4.877 102.634 -6.000
201706 3.824 103.029 4.686
201709 -1.837 103.345 -2.244
201712 8.088 103.345 9.881
201803 -6.320 105.004 -7.599
201806 3.805 105.557 4.551
201809 -3.109 105.636 -3.716
201812 9.925 105.399 11.889
201903 -9.839 106.979 -11.612
201906 6.813 107.690 7.988
201909 -4.047 107.611 -4.748
201912 14.841 107.769 17.387
202003 -4.419 107.927 -5.170
202006 21.055 108.401 24.523
202009 6.178 108.164 7.211
202012 10.127 108.559 11.778
202103 -7.833 110.298 -8.966
202106 13.636 111.720 15.410
202109 -1.938 112.905 -2.167
202112 11.771 113.774 13.063
202203 -12.508 117.646 -13.424
202206 6.155 120.806 6.433
202209 -10.142 120.648 -10.614
202212 12.226 120.964 12.761
202303 -7.665 122.702 -7.887
202306 13.166 124.203 13.384
202309 -3.893 125.230 -3.925
202312 10.715 125.072 10.817
202403 0.610 126.258 0.610

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.


Canadian Tire  (TSX:CTC.A) 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.


Canadian Tire Cyclically Adjusted Price-to-FCF Related Terms

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


Canadian Tire (TSX:CTC.A) Business Description

Traded in Other Exchanges
Address
2180 Yonge Street, P.O. Box 770, Toronto, ON, CAN, M4P 2V8
Canadian Tire sells home goods, sporting equipment, apparel, footwear, automotive parts and accessories, and vehicle fuel through a roughly 1,700-store network of company, dealer, and franchisee-operated locations across Canada. Aside from the namesake banner, stores operate primarily under the Mark's, SportChek, Party City, Atmosphere, and PartSource monikers. Additionally, the company owns Helly Hansen, a Norwegian sportswear and workwear brand, and also operates and holds majority ownership of a financing arm (Canadian Tire Financial Services; 20% owned by Scotiabank) and a REIT (CT REIT; Canadian Tire owns about 70%).

Canadian Tire (TSX:CTC.A) Headlines

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