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TIM (TIMB) Cyclically Adjusted Price-to-FCF : 13.05 (As of Apr. 27, 2024)


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What is TIM Cyclically Adjusted Price-to-FCF?

As of today (2024-04-27), TIM's current share price is $17.09. TIM's Cyclically Adjusted FCF per Share for the quarter that ended in Sep. 2023 was $1.31. TIM's Cyclically Adjusted Price-to-FCF for today is 13.05.

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

TIMB' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 10.23   Med: 35.31   Max: 1065
Current: 13.29

During the past years, TIM's highest Cyclically Adjusted Price-to-FCF was 1065.00. The lowest was 10.23. And the median was 35.31.

TIMB's Cyclically Adjusted Price-to-FCF is ranked better than
51.61% of 186 companies
in the Telecommunication Services industry
Industry Median: 13.72 vs TIMB: 13.29

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.

TIM's adjusted free cash flow per share data for the three months ended in Sep. 2023 was $1.055. 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 $1.31 for the trailing ten years ended in Sep. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


TIM Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for TIM'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.

TIM Cyclically Adjusted Price-to-FCF Chart

TIM 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 32.91 22.17 13.97 11.66 -

TIM 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 11.66 10.19 11.32 11.36 -

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

For the Telecom Services subindustry, TIM'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.


TIM's Cyclically Adjusted Price-to-FCF Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, TIM's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

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



TIM 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.

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

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=17.09/1.31
=13.05

* 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.

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

For example, TIM'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)
=1.055/155.4635*155.4635
=1.055

Current CPI (Sep. 2023) = 155.4635.

TIM Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201312 1.806 88.522 3.172
201403 -1.453 90.447 -2.497
201406 0.602 91.838 1.019
201409 0.722 92.602 1.212
201412 -0.190 94.194 -0.314
201503 -1.076 97.799 -1.710
201506 0.067 100.006 0.104
201509 0.117 101.392 0.179
201512 0.442 104.247 0.659
201603 -0.847 106.979 -1.231
201606 0.142 108.851 0.203
201609 0.495 109.986 0.700
201612 0.612 110.802 0.859
201703 -0.920 111.869 -1.279
201706 0.189 112.115 0.262
201709 0.548 112.777 0.755
201712 0.969 114.068 1.321
201803 0.029 114.868 0.039
201806 -0.077 117.038 -0.102
201809 0.423 117.881 0.558
201812 0.823 118.340 1.081
201903 -0.190 120.124 -0.246
201906 0.062 120.977 0.080
201909 0.592 121.292 0.759
201912 1.128 123.436 1.421
202003 -0.176 124.092 -0.220
202006 0.649 123.557 0.817
202009 0.512 125.095 0.636
202012 0.897 129.012 1.081
202103 0.229 131.660 0.270
202106 0.549 133.871 0.638
202109 0.734 137.913 0.827
202112 0.353 141.992 0.386
202203 -0.086 146.537 -0.091
202206 0.053 149.784 0.055
202209 0.836 147.800 0.879
202212 0.917 150.207 0.949
202303 0.272 153.352 0.276
202306 0.507 154.519 0.510
202309 1.055 155.464 1.055

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.


TIM  (NYSE:TIMB) 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.


TIM Cyclically Adjusted Price-to-FCF Related Terms

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


TIM (TIMB) Business Description

Traded in Other Exchanges
Address
Avenida Joao Cabral de Melo Neto, 850, Torre Norte, 12th Floor, Room 1212, Barra da Tijuca, Rio de Janeiro, RJ, BRA, 22775-057
TIM, which is 67%-owned by Telecom Italia, is the third largest wireless carrier in Brazil, with 61 million subscribers, equal to about 24% of the market. The firm also owns 49% of I-Systems, an infrastructure partnership that is expanding its network footprint across Brazil. I-Systems can provide broadband service to about 9 million locations, equal to a bit less than 15% of the country. TIM leases capacity on the venture's network to serve retail broadband customers under the UltraFibra brand.