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Dun & Bradstreet Corp (NYSE:DNB)
Shiller P/E Ratio
19.21 (As of Today)

As of today, Dun & Bradstreet Corp's current share price is $122.54. Dun & Bradstreet Corp's E10 for the quarter that ended in Sep. 2014 was $6.38. Dun & Bradstreet Corp's Shiller P/E Ratio for today is 19.21.

DNB' s 10-Year Shiller P/E Ratio Range
Min: 11.52   Max: 33.9
Current: 19.2

11.52
33.9

During the past 13 years, Dun & Bradstreet Corp's highest Shiller P/E Ratio was 33.90. The lowest was 11.52. And the median was 17.14.

DNB's Shiller P/E Ratiois ranked higher than
89% of the 1121 Companies
in the Global Business Services industry.

( Industry Median: 9999.00 vs. DNB: 19.20 )

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.

Dun & Bradstreet Corp's adjusted earnings per share data for the three months ended in Sep. 2014 was $1.830. 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 $6.38 for the trailing six years ended in Sep. 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.

Dun & Bradstreet Corp's Shiller P/E Ratio for today is calculated as

Shiller P/E Ratio=Share Price/E10
=122.54/6.38
=19.21

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

Dun & Bradstreet Corp's E10 for the fiscal year that ended in Dec13 is calculated as:

For example, Dun & Bradstreet Corp's adjusted earnings per share data for the three months ended in Sep. 2014 was:

Adj_EPS=Earnigns per Share/CPI of Sep. 2014*CPI of Current
=1.85/238.031*235.51
=1.830

Since most companies do not have as long as 10 years history, GuruFocus uses 6 years to do the calculation.

Current CPI = 235.51.

Dun & Bradstreet Corp Quarterly Data

201206201209201212201303201306201309201312201403201406201409
per share eps 1.2001.7602.2021.2901.4401.8701.9662.2601.3501.850
CPI 229.478231.407229.601232.773233.504234.149233.049236.293238.343238.031
Adj_EPS 1.2321.7912.2591.3051.4521.8811.9872.2531.3341.830
200912201003201006201009201012201103201106201109201112201203
per share eps 1.6230.9201.1001.1201.8481.0001.1801.1901.9321.320
CPI 215.949217.631217.965218.439219.179223.467225.722226.889225.672229.392
Adj_EPS 1.7700.9961.1891.2081.9861.0541.2311.2352.0161.355
200812200903200906200909
per share eps 1.8611.9301.4301.020
CPI 210.228212.709215.693215.969
Adj_EPS 2.0852.1371.5611.112

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.

Dun & Bradstreet Corp Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ShillerPE 0.000.0029.6726.1219.5418.2916.5013.8913.5220.15

Dun & Bradstreet Corp Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
ShillerPE 12.7813.7713.5213.9916.3817.0720.1515.6817.3618.41
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