Switch to:
Bed Bath & Beyond Inc (NAS:BBBY)
Shiller P/E Ratio
19.00 (As of Today)

As of today, Bed Bath & Beyond Inc's current share price is $72.58. Bed Bath & Beyond Inc's E10 for the quarter that ended in Aug. 2014 was $3.82. Bed Bath & Beyond Inc's Shiller P/E Ratio for today is 19.00.

BBBY' s 10-Year Shiller P/E Ratio Range
Min: 9.38   Max: 54.65
Current: 19

9.38
54.65

During the past 13 years, Bed Bath & Beyond Inc's highest Shiller P/E Ratio was 54.65. The lowest was 9.38. And the median was 22.09.

BBBY's Shiller P/E Ratiois ranked higher than
86% of the 1357 Companies
in the Global Specialty Retail industry.

( Industry Median: 53.43 vs. BBBY: 19.00 )

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.

Bed Bath & Beyond Inc's adjusted earnings per share data for the three months ended in Aug. 2014 was $1.173. 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 $3.82 for the trailing six years ended in Aug. 2014.


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.

Bed Bath & Beyond Inc's Shiller P/E Ratio for today is calculated as

Shiller P/E Ratio=Share Price/E10
=72.58/3.82
=19.00

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

Bed Bath & Beyond Inc's E10 for the fiscal year that ended in Feb14 is calculated as:

For example, Bed Bath & Beyond Inc's adjusted earnings per share data for the three months ended in Aug. 2014 was:

Adj_EPS=Earnigns per Share/CPI of Aug. 2014*CPI of Current
=1.17/237.852*238.389
=1.173

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

Current CPI = 238.389.

Bed Bath & Beyond Inc Quarterly Data

201205201208201211201302201305201308201311201402201405201408
per share eps 0.8900.9801.0301.6820.9301.1601.1201.6020.9301.170
CPI 229.815230.379230.221232.166232.945233.877233.069234.781237.900237.852
Adj_EPS 0.9231.0141.0671.7270.9521.1821.1461.6270.9321.173
200911201002201005201008201011201102201105201108201111201202
per share eps 0.5800.8630.5200.7000.7401.1210.7200.9300.9501.478
CPI 216.330216.741218.178218.312218.803221.309225.964226.545226.230227.663
Adj_EPS 0.6390.9490.5680.7640.8061.2080.7600.9791.0011.548
200811200902200905200908
per share eps 0.3400.5480.3400.520
CPI 212.425212.193213.856215.834
Adj_EPS 0.3820.6160.3790.574

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.

Bed Bath & Beyond Inc Annual Data

Feb05Feb06Feb07Feb08Feb09Feb10Feb11Feb12Feb13Feb14
ShillerPE 37.3528.3625.9515.6911.2220.1820.9522.3418.3219.18

Bed Bath & Beyond Inc Quarterly Data

May12Aug12Nov12Feb13May13Aug13Nov13Feb14May14Aug14
ShillerPE 25.9723.3620.0718.3221.2522.3423.0119.1816.4116.83
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
Free 7-day Trial
FEEDBACK