GURUFOCUS.COM » STOCK LIST » Basic Materials » Steel » POSCO Holdings Inc (NYSE:PKX) » Definitions » Cyclically Adjusted Price-to-FCF

POSCO Holdings (POSCO Holdings) Cyclically Adjusted Price-to-FCF : 10.80 (As of Apr. 27, 2024)


View and export this data going back to 1994. Start your Free Trial

What is POSCO Holdings Cyclically Adjusted Price-to-FCF?

As of today (2024-04-27), POSCO Holdings's current share price is $71.60. POSCO Holdings's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 was $6.63. POSCO Holdings's Cyclically Adjusted Price-to-FCF for today is 10.80.

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

PKX' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 6.85   Med: 16.37   Max: 195.47
Current: 11.27

During the past years, POSCO Holdings's highest Cyclically Adjusted Price-to-FCF was 195.47. The lowest was 6.85. And the median was 16.37.

PKX's Cyclically Adjusted Price-to-FCF is ranked better than
59.85% of 269 companies
in the Steel industry
Industry Median: 13.46 vs PKX: 11.27

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.

POSCO Holdings's adjusted free cash flow per share data for the three months ended in Dec. 2023 was $-1.397. 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 $6.63 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


POSCO Holdings Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for POSCO Holdings'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.

POSCO Holdings Cyclically Adjusted Price-to-FCF Chart

POSCO Holdings 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 28.99 14.73 9.45 8.69 14.34

POSCO Holdings Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 8.69 11.57 11.49 15.40 14.34

Competitive Comparison of POSCO Holdings's Cyclically Adjusted Price-to-FCF

For the Steel subindustry, POSCO Holdings'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.


POSCO Holdings's Cyclically Adjusted Price-to-FCF Distribution in the Steel Industry

For the Steel industry and Basic Materials sector, POSCO Holdings's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



POSCO Holdings 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.

POSCO Holdings's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=71.60/6.63
=10.80

* 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.

POSCO Holdings's Cyclically Adjusted FCF per Share for the quarter that ended in Dec. 2023 is calculated as:

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

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=-1.397/118.8477*118.8477
=-1.397

Current CPI (Dec. 2023) = 118.8477.

POSCO Holdings Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201403 -4.725 99.253 -5.658
201406 -0.179 99.353 -0.214
201409 0.814 99.608 0.971
201412 2.743 99.098 3.290
201503 0.882 99.720 1.051
201506 4.974 100.050 5.909
201509 3.089 100.110 3.667
201512 3.997 100.220 4.740
201603 2.955 100.560 3.492
201606 2.689 100.790 3.171
201609 2.752 101.460 3.224
201612 -0.762 101.560 -0.892
201703 0.598 102.850 0.691
201706 0.413 102.610 0.478
201709 2.409 103.490 2.766
201712 5.014 102.990 5.786
201803 3.112 104.100 3.553
201806 0.593 104.130 0.677
201809 4.383 105.650 4.931
201812 1.233 104.350 1.404
201903 2.258 104.490 2.568
201906 1.933 104.880 2.190
201909 1.418 105.200 1.602
201912 2.915 105.120 3.296
202003 1.737 105.540 1.956
202006 3.451 104.870 3.911
202009 4.103 106.200 4.592
202012 4.879 105.765 5.482
202103 -0.041 107.357 -0.045
202106 2.563 107.579 2.831
202109 2.196 108.759 2.400
202112 2.963 109.676 3.211
202203 -2.483 111.806 -2.639
202206 -2.010 114.083 -2.094
202209 3.931 114.831 4.068
202212 2.120 115.200 2.187
202303 -4.349 116.550 -4.435
202306 1.748 117.140 1.773
202309 1.197 119.111 1.194
202312 -1.397 118.848 -1.397

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.


POSCO Holdings  (NYSE:PKX) 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.


POSCO Holdings Cyclically Adjusted Price-to-FCF Related Terms

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


POSCO Holdings (POSCO Holdings) Business Description

Industry
Address
POSCO Center, 440 Teheran-ro, Gangnam-gu, Seoul, KOR, 06194
POSCO Holdings Inc is a holding company and operates through its subsidiaries. The company's operating segments are 1) Steel Segment includes the production and sale of steel products. 2) Green Infrastructure Business includes the provision of infrastructure and related services. The segment is divided into three operations, Trading Segment consists trading and natural resources development activities. Construction Segment consists planning, designing and construction of industrial plants, civil engineering projects and buildings. The energy and Other Segment consists power generation and information technology and operational technology services. 3) Green Materials and Energy Segment include manufacturing and sale of energy-related and other industrial materials, 4) Others Segment.