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First American Financial (FRA:Y1F) Cyclically Adjusted Revenue per Share : €61.05 (As of Mar. 2024)


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What is First American Financial Cyclically Adjusted Revenue per Share?

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Revenue per Share and the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted Revenue per Share of a company over the past 10 years.

First American Financial's adjusted revenue per share for the three months ended in Mar. 2024 was €12.554. Add all the adjusted revenue per share for the past 10 years together and divide the count will get our Cyclically Adjusted Revenue per Share, which is €61.05 for the trailing ten years ended in Mar. 2024.

During the past 12 months, First American Financial's average Cyclically Adjusted Revenue Growth Rate was 3.30% per year. During the past 3 years, the average Cyclically Adjusted Revenue Growth Rate was 9.00% per year. During the past 5 years, the average Cyclically Adjusted Revenue Growth Rate was 8.10% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Cyclically Adjusted Revenue Growth Rate using Cyclically Adjusted Revenue per Share data.

During the past 13 years, the highest 3-Year average Cyclically Adjusted Revenue Growth Rate of First American Financial was 9.70% per year. The lowest was 7.90% per year. And the median was 9.00% per year.

As of today (2024-06-08), First American Financial's current stock price is €49.60. First American Financial's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2024 was €61.05. First American Financial's Cyclically Adjusted PS Ratio of today is 0.81.

During the past 13 years, the highest Cyclically Adjusted PS Ratio of First American Financial was 1.35. The lowest was 0.68. And the median was 1.02.


First American Financial Cyclically Adjusted Revenue per Share Historical Data

The historical data trend for First American Financial's Cyclically Adjusted Revenue per Share 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.

First American Financial Cyclically Adjusted Revenue per Share Chart

First American Financial Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted Revenue per Share
Get a 7-Day Free Trial Premium Member Only Premium Member Only 44.35 41.36 52.47 60.91 59.82

First American Financial Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted Revenue per Share 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 60.05 61.65 63.82 59.82 61.05

Competitive Comparison of First American Financial's Cyclically Adjusted Revenue per Share

For the Insurance - Specialty subindustry, First American Financial's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio 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.


First American Financial's Cyclically Adjusted PS Ratio Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, First American Financial's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where First American Financial's Cyclically Adjusted PS Ratio falls into.



First American Financial Cyclically Adjusted Revenue per Share Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Revenue per Share and the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted Revenue per Share of a company over the past 10 years.

What is Cyclically Adjusted Revenue per Share? How do we calculate Cyclically Adjusted Revenue per Share?

Cyclically Adjusted Revenue per Share is the average of the inflation adjusted Revenue per Share of a company over the past 10 years. Let's use an example to explain.

If we want to calculate the Cyclically Adjusted Revenue per Share of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the revenue per share from 2001 through 2010.

We adjusted the 2001 revenue per share data with the total inflation from 2001 through 2010 to the equivalent revenue in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart's revenue is $1 a share in 2001, then the 2001's equivalent revenue in 2010 is $1.4 a share. If Wal-Mart's revenue is $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 revenue in 2010 is $1.35. So on and so forth, you get the equivalent revenue per share of past 10 years. Then you add them together and divided the sum by the count to get Cyclically Adjusted Revenue 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.

For example, First American Financial's adjusted Revenue per Share data for the three months ended in Mar. 2024 was:

Adj_RevenuePerShare= Revenue per Share /CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=12.554/131.7762*131.7762
=12.554

Current CPI (Mar. 2024) = 131.7762.

First American Financial Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201406 7.790 100.560 10.208
201409 8.980 100.428 11.783
201412 9.331 99.070 12.412
201503 9.381 99.621 12.409
201506 10.743 100.684 14.061
201509 11.209 100.392 14.713
201512 11.303 99.792 14.926
201603 9.751 100.470 12.789
201606 10.919 101.688 14.150
201609 12.080 101.861 15.628
201612 12.777 101.863 16.529
201703 11.012 102.862 14.107
201706 11.537 103.349 14.710
201709 11.325 104.136 14.331
201712 11.051 104.011 14.001
201803 9.308 105.290 11.650
201806 11.284 106.317 13.986
201809 11.658 106.507 14.424
201812 10.956 105.998 13.620
201903 10.189 107.251 12.519
201906 11.685 108.070 14.248
201909 13.341 108.329 16.229
201912 13.591 108.420 16.519
202003 11.221 108.902 13.578
202006 12.692 108.767 15.377
202009 14.398 109.815 17.277
202012 15.674 109.897 18.795
202103 15.277 111.754 18.014
202106 16.913 114.631 19.443
202109 19.503 115.734 22.206
202112 18.745 117.630 20.999
202203 16.666 121.301 18.105
202206 18.049 125.017 19.025
202209 17.465 125.227 18.378
202212 15.062 125.222 15.850
202303 12.888 127.348 13.336
202306 14.546 128.729 14.890
202309 13.319 129.860 13.516
202312 12.519 129.419 12.747
202403 12.554 131.776 12.554

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.


First American Financial  (FRA:Y1F) Cyclically Adjusted Revenue per Share Explanation

If a company grows much fast than inflation, Cyclically Adjusted Revenue per Share may underestimate the company's revenue. Cyclically Adjusted PS Ratio can seem to be too high even the actual PS Ratio is low.

For the Cyclically Adjusted PS Ratio, the revenue per share of the past 10 years are inflation-adjusted and averaged. The result is used for P/S calculation. Since it looks at the average over the last 10 years, the Cyclically Adjusted PS Ratio is also called CAPS Ratio.

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 PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

First American Financial's Cyclically Adjusted PS Ratio of today is calculated as

Cyclically Adjusted PS Ratio=Share Price/Cyclically Adjusted Revenue per Share
=49.60/61.05
=0.81

* 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.

During the past 13 years, the highest Cyclically Adjusted PS Ratio of First American Financial was 1.35. The lowest was 0.68. And the median was 1.02.


Be Aware

Cyclically Adjusted PS Ratio works better for cyclical companies. It gives you a better idea on the company's real revenue value.


First American Financial Cyclically Adjusted Revenue per Share Related Terms

Thank you for viewing the detailed overview of First American Financial's Cyclically Adjusted Revenue per Share provided by GuruFocus.com. Please click on the following links to see related term pages.


First American Financial (FRA:Y1F) Business Description

Traded in Other Exchanges
Address
1 First American Way, Santa Ana, CA, USA, 92707-5913
First American Financial Corp is a financial services business providing insurance through two segments: title insurance and related services and specialty insurance. Title insurance and related services include real estate insurance, property closing services, third-party handling of real estate funds (escrow), risk mitigation, real estate data products, and related real estate transaction services. The title insurance sector serves residential and commercial deals. Specialty insurance includes property insurance policies, casualty insurance policies, and home warranties. Nearly all the company's revenue comes from the title insurance and related services segment in the United States.

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