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Australia and New Zealand Banking Group Ltd (OTCPK:ANZBY)
Shiller P/E Ratio
16.85 (As of Today)

As of today, Australia and New Zealand Banking Group Ltd's current share price is $28.48. Australia and New Zealand Banking Group Ltd's E10 for the quarter that ended in Mar. 2014 was $1.77. Australia and New Zealand Banking Group Ltd's Shiller P/E Ratio for today is 16.85.

ANZBY' s 10-Year Shiller P/E Ratio Range
Min: 6.48   Max: 19.41
Current: 16.85

6.48
19.41

During the past 13 years, Australia and New Zealand Banking Group Ltd's highest Shiller P/E Ratio was 19.41. The lowest was 6.48. And the median was 14.63.

ANZBY's Shiller P/E Ratiois ranked higher than
74% of the 1093 Companies
in the Global Banks - Regional - Australia industry.

( Industry Median: 16.35 vs. ANZBY: 16.85 )

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller P/E calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

Australia and New Zealand Banking Group Ltd's adjusted earnings per share data of for the fiscal year that ended in Sep13 was $2.173. Since most companies do not have as long as 10 years history, here we use 6 years to calculate. Add all the adjusted EPS for the past 6 years together and divide 6 will get our E10, which is $1.77 for the trailing six years ended in Sep13.


Definition

For the Shiller P/E, the earnings of the past 10 years are inflation-adjusted and averaged. The result is used for P/E calculation. Since it looks at the average over the last 10 years, the Shiller P/E is also called PE10.

The Shiller P/E was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

Australia and New Zealand Banking Group Ltd's Shiller P/E Ratio for today is calculated as

Shiller P/E Ratio=Share Price/E10
=28.48/1.77
=16.09

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Australia and New Zealand Banking Group Ltd's E10 for the quarter that ended in Mar. 2014 is calculated as:

For example, Australia and New Zealand Banking Group Ltd's adjusted earnings per share data for the fiscal year that ended in Sep13 was:

Adj_EPS=Earnigns per Share/CPI of Sep13*CPI of Current
=2.13714285714/234.149*238.064
=2.173

Since most companies do not have as long as 10 years history, here we use 6 years to calculate:

Current CPI = 238.064.

Australia and New Zealand Banking Group Ltd Annual Data

200809200909201009201109201209201309
per share eps 1.1141.1751.7152.0222.1172.137
CPI 218.783215.969218.439226.889231.407234.149
Adj_EPS 1.2121.2951.8692.1222.1782.173

Add all the adjusted EPS together and divide 6 will get our E10.


Explanation

Compared with the regular P/E ratio, which works poorly for cyclical businesses, the Shiller P/E smoothed out the fluctuations of profit margins during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Shiller P/E should give similar results to regular P/E.

Compared with the P/S ratio, the Shiller P/E makes the comparison between different industries more meaningful.


Be Aware

The Shiller P/E assumes that over the long term, businesses and profitability revert to their means. If a company’s business model does not work in the future compared with the past, the Shiller P/E and P/S ratio will give false valuations.


Related Terms

P/E Ratio, P/B Ratio, P/S Ratio, Price-to-Free-Cash-Flow ratio, E10


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Australia and New Zealand Banking Group Ltd Annual Data

Sep04Sep05Sep06Sep07Sep08Sep09Sep10Sep11Sep12Sep13
ShillerPE 14.2516.2716.4916.4310.0513.7413.1910.3012.9716.25

Australia and New Zealand Banking Group Ltd Semi-Annual Data

Sep09Mar10Sep10Mar11Sep11Mar12Sep12Mar13Sep13Mar14
ShillerPE 13.740.0013.190.0010.300.0012.970.0016.250.00
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