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Cal-Maine Foods Inc (NAS:CALM)
Shiller P/E Ratio
22.40 (As of Today)

As of today, Cal-Maine Foods Inc's current share price is $75.97. Cal-Maine Foods Inc's E10 for the quarter that ended in May. 2014 was $3.38. Cal-Maine Foods Inc's Shiller P/E Ratio for today is 22.40.

CALM' s 10-Year Shiller P/E Ratio Range
Min: 8.15   Max: 121.31
Current: 22.4

8.15
121.31

During the past 13 years, Cal-Maine Foods Inc's highest Shiller P/E Ratio was 121.31. The lowest was 8.15. And the median was 15.02.

CALM's Shiller P/E Ratiois ranked higher than
86% of the 1582 Companies
in the Global Packaged Foods industry.

( Industry Median: 9999.00 vs. CALM: 22.40 )

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.

Cal-Maine Foods Inc's adjusted earnings per share data for the three months ended in May. 2014 was $1.310. 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 $3.38 for the trailing six years ended in May. 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.

Cal-Maine Foods Inc's Shiller P/E Ratio for today is calculated as

Shiller P/E Ratio=Share Price/E10
=75.97/3.38
=22.48

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

Cal-Maine Foods Inc's E10 for the fiscal year that ended in May14 is calculated as:

For example, Cal-Maine Foods Inc's adjusted earnings per share data for the three months ended in May. 2014 was:

Adj_EPS=Earnigns per Share/CPI of May. 2014*CPI of Current
=1.305/237.9*238.786
=1.310

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

Current CPI = 238.786.

Cal-Maine Foods Inc Quarterly Data

201202201205201208201211201302201305201308201311201402201405
per share eps 1.0901.5570.3900.6001.270-0.1590.3601.0801.7701.305
CPI 227.663229.815230.379230.221232.166232.945233.877233.069234.781237.900
Adj_EPS 1.1431.6180.4040.6221.306-0.1630.3681.1061.8001.310
200908200911201002201005201008201011201102201105201108201111
per share eps -0.1600.6701.4500.8800.2000.6301.4000.3040.1300.970
CPI 215.834216.330216.741218.178218.312218.803221.309225.964226.545226.230
Adj_EPS -0.1770.7401.5970.9630.2190.6881.5110.3210.1371.024
200808200811200902200905
per share eps 0.4701.1401.2900.431
CPI 219.086212.425212.193213.856
Adj_EPS 0.5121.2811.4520.481

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.

Cal-Maine Foods Inc Annual Data

May05May06May07May08May09May10May11May12May13May14
ShillerPE 20.0914.9819.4716.4010.4813.8910.239.8412.0720.66

Cal-Maine Foods Inc Quarterly Data

Feb12May12Aug12Nov12Feb13May13Aug13Nov13Feb14May14
ShillerPE 11.609.8410.8012.2010.4512.0712.4715.5915.5820.66
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