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Wells Fargo (Wells Fargo) Cyclically Adjusted Price-to-FCF : (As of May. 23, 2024)


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What is Wells Fargo Cyclically Adjusted Price-to-FCF?

Note: If the price history is too short, we do not calculate current Cyclically Adjusted Price-to-FCF for this stock. All the historical data is shown as the company's primary share's data instead.

Shiller PE for Stocks: The True Measure of Stock Valuation


Wells Fargo Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Wells Fargo'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.

Wells Fargo Cyclically Adjusted Price-to-FCF Chart

Wells Fargo 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 10.46 6.22 10.45 9.87 12.27

Wells Fargo 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 8.84 10.84 10.53 12.27 15.77

Competitive Comparison of Wells Fargo's Cyclically Adjusted Price-to-FCF

For the Banks - Diversified subindustry, Wells Fargo'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.


Wells Fargo's Cyclically Adjusted Price-to-FCF Distribution in the Banks Industry

For the Banks industry and Financial Services sector, Wells Fargo's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



Wells Fargo 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.

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

For example, Wells Fargo'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)
=-2.921/131.7762*131.7762
=-2.921

Current CPI (Mar. 2024) = 131.7762.

Wells Fargo Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 -0.605 100.560 -0.793
201409 2.836 100.428 3.721
201412 0.543 99.070 0.722
201503 0.480 99.621 0.635
201506 -0.316 100.684 -0.414
201509 3.646 100.392 4.786
201512 -0.753 99.792 -0.994
201603 1.151 100.470 1.510
201606 -1.433 101.688 -1.857
201609 -0.470 101.861 -0.608
201612 0.950 101.863 1.229
201703 2.591 102.862 3.319
201706 -0.859 103.349 -1.095
201709 1.908 104.136 2.414
201712 0.055 104.011 0.070
201803 3.089 105.290 3.866
201806 -0.173 106.317 -0.214
201809 1.380 106.507 1.707
201812 3.200 105.998 3.978
201903 1.735 107.251 2.132
201906 -0.149 108.070 -0.182
201909 -2.956 108.329 -3.596
201912 2.935 108.420 3.567
202003 4.177 108.902 5.054
202006 3.926 108.767 4.757
202009 -2.075 109.815 -2.490
202012 -5.484 109.897 -6.576
202103 -0.836 111.754 -0.986
202106 -1.942 114.631 -2.232
202109 -1.159 115.734 -1.320
202112 1.160 117.630 1.300
202203 0.048 121.301 0.052
202206 1.828 125.017 1.927
202209 2.895 125.227 3.046
202212 1.745 125.222 1.836
202303 1.784 127.348 1.846
202306 -0.182 128.729 -0.186
202309 3.735 129.860 3.790
202312 4.385 129.419 4.465
202403 -2.921 131.776 -2.921

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.


Wells Fargo  (NYSE:WFCpC.PFD) 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.


Wells Fargo Cyclically Adjusted Price-to-FCF Related Terms

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Wells Fargo (Wells Fargo) Business Description

Industry
Address
420 Montgomery Street, San Francisco, CA, USA, 94104
Wells Fargo is one of the largest banks in the United States, with approximately $1.9 trillion in balance sheet assets. The company has four primary segments: consumer banking, commercial banking, corporate and investment banking, and wealth and investment management. It is almost entirely focused on the U.S.