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Wipro (WBO:WIOA) Cyclically Adjusted Price-to-FCF : (As of Jun. 09, 2024)


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What is Wipro Cyclically Adjusted Price-to-FCF?

Shiller PE for Stocks: The True Measure of Stock Valuation


Wipro Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Wipro'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.

Wipro Cyclically Adjusted Price-to-FCF Chart

Wipro Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Cyclically Adjusted Price-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.84 27.15 36.62 20.80 -

Wipro Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 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 22.81 20.80 21.41 - -

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

For the Information Technology Services subindustry, Wipro'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.


Wipro's Cyclically Adjusted Price-to-FCF Distribution in the Software Industry

For the Software industry and Technology sector, Wipro's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Wipro 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.

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

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

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Sep. 2023 (Change)*Current CPI (Sep. 2023)
=0/151.4920*151.4920
=0.000

Current CPI (Sep. 2023) = 151.4920.

Wipro Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201312 0.000 91.425 0.000
201403 0.000 91.425 0.000
201406 0.035 94.103 0.056
201409 0.022 96.780 0.034
201412 0.031 96.780 0.049
201503 0.046 97.163 0.072
201506 0.040 99.841 0.061
201509 0.024 101.753 0.036
201512 0.044 102.901 0.065
201603 0.028 102.518 0.041
201606 0.020 105.961 0.029
201609 0.040 105.961 0.057
201612 0.046 105.196 0.066
201703 0.047 105.196 0.068
201706 0.054 107.109 0.076
201709 0.024 109.021 0.033
201712 0.049 109.404 0.068
201803 0.002 109.786 0.003
201806 0.051 111.317 0.069
201809 0.025 115.142 0.033
201812 0.060 115.142 0.079
201903 0.058 118.202 0.074
201906 0.049 120.880 0.061
201909 0.046 123.175 0.057
201912 0.054 126.235 0.065
202003 0.017 124.705 0.021
202006 0.077 127.000 0.092
202009 0.081 130.118 0.094
202012 0.076 130.889 0.088
202103 0.023 131.771 0.026
202106 0.060 134.084 0.068
202109 0.038 135.847 0.042
202112 0.052 138.161 0.057
202203 0.042 138.822 0.046
202206 -0.007 142.347 -0.007
202209 0.101 144.661 0.106
202212 0.084 145.763 0.087
202303 0.071 146.865 0.073
202306 0.071 150.280 0.072
202309 0.000 151.492 0.000

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.


Wipro  (WBO:WIOA) 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.


Wipro Cyclically Adjusted Price-to-FCF Related Terms

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Wipro (WBO:WIOA) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Technology » Software » Wipro Ltd (WBO:WIOA) » Definitions » Cyclically Adjusted Price-to-FCF
Traded in Other Exchanges
Address
Sarjapur Road, Doddakannelli, Bangalore, KA, IND, 560 035
Wipro is a leading global IT services provider, with 175,000 employees. Based in Bengaluru, this India IT services firm leverages its offshore outsourcing model to derive over half of its revenue (57%) from North America. The company offers traditional IT services offerings: consulting, managed services, and cloud infrastructure services as well as business process outsourcing as a service.

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