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NVIDIA (NVIDIA) Cyclically Adjusted FCF per Share : $2.50 (As of Jan. 2024)


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What is NVIDIA Cyclically Adjusted FCF 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 FCF per Share and 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.

NVIDIA's adjusted free cash flow per share for the three months ended in Jan. 2024 was $4.509. Add all the adjusted free cash flow per share for the past 10 years together and divide the count will get our Cyclically Adjusted FCF per Share, which is $2.50 for the trailing ten years ended in Jan. 2024.

During the past 12 months, NVIDIA's average Cyclically Adjusted FCF Growth Rate was 77.30% per year. During the past 3 years, the average Cyclically Adjusted FCF Growth Rate was 42.70% per year. During the past 5 years, the average Cyclically Adjusted FCF Growth Rate was 34.00% per year. During the past 10 years, the average Cyclically Adjusted FCF Growth Rate was 26.70% 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 FCF Growth Rate using Cyclically Adjusted FCF per Share data.

During the past 13 years, the highest 3-Year average Cyclically Adjusted FCF Growth Rate of NVIDIA was 42.70% per year. The lowest was 13.30% per year. And the median was 19.30% per year.

As of today (2024-04-27), NVIDIA's current stock price is $877.35. NVIDIA's Cyclically Adjusted FCF per Share for the quarter that ended in Jan. 2024 was $2.50. NVIDIA's Cyclically Adjusted Price-to-FCF of today is 350.94.

During the past 13 years, the highest Cyclically Adjusted Price-to-FCF of NVIDIA was 377.16. The lowest was 17.84. And the median was 97.85.


NVIDIA Cyclically Adjusted FCF per Share Historical Data

The historical data trend for NVIDIA's Cyclically Adjusted FCF 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.

NVIDIA Cyclically Adjusted FCF per Share Chart

NVIDIA Annual Data
Trend Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
Cyclically Adjusted FCF per Share
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.69 0.86 1.22 1.41 2.50

NVIDIA Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
Cyclically Adjusted FCF 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 1.41 1.54 1.79 2.08 2.50

Competitive Comparison of NVIDIA's Cyclically Adjusted FCF per Share

For the Semiconductors subindustry, NVIDIA'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.


NVIDIA's Cyclically Adjusted Price-to-FCF Distribution in the Semiconductors Industry

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

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



NVIDIA Cyclically Adjusted FCF 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 FCF per Share and 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.

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

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. Let's use an example to explain.

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

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

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

Adj_FreeCashFlowPerShare= Free Cash Flow per Share /CPI of Jan. 2024 (Change)*Current CPI (Jan. 2024)
=4.509/129.4194*129.4194
=4.509

Current CPI (Jan. 2024) = 129.4194.

NVIDIA Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201404 0.054 100.023 0.070
201407 0.032 100.520 0.041
201410 0.079 100.176 0.102
201501 0.186 98.604 0.244
201504 0.095 99.824 0.123
201507 0.063 100.691 0.081
201510 0.105 100.346 0.135
201601 0.211 99.957 0.273
201604 0.110 100.947 0.141
201607 0.066 101.524 0.084
201610 0.151 101.988 0.192
201701 0.243 102.456 0.307
201704 0.089 103.167 0.112
201707 0.257 103.278 0.322
201710 0.433 104.070 0.538
201801 0.374 104.578 0.463
201804 0.529 105.708 0.648
201807 0.313 106.324 0.381
201810 0.135 106.695 0.164
201901 0.279 106.200 0.340
201904 0.240 107.818 0.288
201907 0.334 108.250 0.399
201910 0.622 108.577 0.741
202001 0.531 108.841 0.631
202004 0.303 108.173 0.363
202007 0.539 109.318 0.638
202010 0.320 109.861 0.377
202101 0.706 110.364 0.828
202104 0.623 112.673 0.716
202107 0.987 115.183 1.109
202110 0.511 116.696 0.567
202201 1.085 118.619 1.184
202204 0.540 121.978 0.573
202207 0.333 125.002 0.345
202210 -0.055 125.734 -0.057
202301 0.702 126.223 0.720
202304 1.069 127.992 1.081
202307 2.425 128.974 2.433
202310 2.828 129.810 2.819
202401 4.509 129.419 4.509

Add all the adjusted free cash flow per share together and divide 10 will get our Cyclically Adjusted FCF per Share.


NVIDIA  (NAS:NVDA) Cyclically Adjusted FCF per Share Explanation

If a company grows much fast than inflation, Cyclically Adjusted FCF per Share may underestimate the company's free cash flow. Cyclically Adjusted Price-to-FCF can seem to be too high even the actual Price-to-Free-Cash-Flow is low.

For the Cyclically Adjusted Price-to-FCF, the free cash flow per share of the past 10 years are inflation-adjusted and averaged. The result is used for P/FCF calculation. Since it looks at the average over the last 10 years, the Cyclically Adjusted Price-to-FCF is also called CAPFCF 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 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.

NVIDIA's Cyclically Adjusted Price-to-FCF of today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/Cyclically Adjusted FCF per Share
=877.35/2.5
=350.94

* 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 Price-to-FCF of NVIDIA was 377.16. The lowest was 17.84. And the median was 97.85.


Be Aware

Cyclically Adjusted Price-to-FCF works better for cyclical companies. It gives you a better idea on the company's real free cash flow value.


NVIDIA Cyclically Adjusted FCF per Share Related Terms

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


NVIDIA (NVIDIA) Business Description

Industry
Address
2788 San Tomas Expressway, Santa Clara, CA, USA, 95051
Nvidia is a leading developer of graphics processing units. Traditionally, GPUs were used to enhance the experience on computing platforms, most notably in gaming applications on PCs. GPU use cases have since emerged as important semiconductors used in artificial intelligence. Nvidia not only offers AI GPUs, but also a software platform, Cuda, used for AI model development and training. Nvidia is also expanding its data center networking solutions, helping to tie GPUs together to handle complex workloads.
Executives
Mark A Stevens director 2788 SAN TOMAS EXPRESSWAY, SANTA CLARA CA 95051
Debora Shoquist officer: EVP, Operations C/O NVIDIA CORPORATION, 2788 SAN TOMAS EXPRESSWAY, SANTA CLARA CA 95051
Robertson Donald F Jr officer: Principal Accounting Officer C/O NVIDIA CORPORATION, 2788 SAN TOMAS EXPRESSWAY, SANTA CLARA CA 95051
Dawn E Hudson director 2530 ZANKER ROAD, SAN JOSE CA 95131
John Dabiri director 2788 SAN TOMAS EXPRESSWAY, SANTA CLARA CA 95051
Jen Hsun Huang director, officer: President and CEO 2788 SAN TOMAS EXPRESSWAY, SANTA CLARA CA 95051
Kress Colette officer: Chief Financial Officer & EVP C/O NVIDIA CORPORATION, 2788 SAN TOMAS EXPRESSWAY, SANTA CLARA CA 95051
Melissa Lora director C/O KB HOME, 10990 WILSHIRE BOULEVARD, 7TH FLOOR, LOS ANGELES CA 90024
Tench Coxe director 755 PAGE MILL ROAD, SUITE A-200, PALO ALTO CA 94304
A Brooke Seawell director 2788 SAN TOMAS EXPRESSWAY, C/O NVIDIA CORPORATION, SANTA CLARA CA 94063
Harvey C Jones director 300 RIDGEVIEW DRIVE, PALM BEACH FL 33480
Persis Drell director 943 LATHROP PLACE, STANFORD CA 94305
Mark L Perry director 176 WEST BLITHEDALE AVE, MILL VALLEY CA 94941
Robert K Burgess director MACROMEDIA/ 600 TOWNSEND ST, SAN FRANCISCO CA 94103
Michael G Mccaffery director 2788 SAN TOMAS EXPRESSWAY, SANTA CLARA CA 95051

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