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Group 1 Automotive Inc (NYSE:GPI)
Shiller P/E Ratio
31.50 (As of Today)

As of today, Group 1 Automotive Inc's current share price is $75.49. Group 1 Automotive Inc's E10 for the quarter that ended in Mar. 2014 was $2.40. Group 1 Automotive Inc's Shiller P/E Ratio for today is 31.50.

GPI' s 10-Year Shiller P/E Ratio Range
Min: 2.23   Max: 36.39
Current: 31.5

2.23
36.39

During the past 13 years, Group 1 Automotive Inc's highest Shiller P/E Ratio was 36.39. The lowest was 2.23. And the median was 16.51.

GPI's Shiller P/E Ratiois ranked higher than
82% of the 1272 Companies
in the Global Auto & Truck Dealerships industry.

( Industry Median: 9999.00 vs. GPI: 31.50 )

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.

Group 1 Automotive Inc's adjusted earnings per share data for the three months ended in Mar. 2014 was $1.203. 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 $2.40 for the trailing six years ended in Mar. 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.

Group 1 Automotive Inc's Shiller P/E Ratio for today is calculated as

Shiller P/E Ratio=Share Price/E10
=75.49/2.40
=31.45

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

Group 1 Automotive Inc's E10 for the fiscal year that ended in Dec13 is calculated as:

For example, Group 1 Automotive Inc's adjusted earnings per share data for the three months ended in Mar. 2014 was:

Adj_EPS=Earnigns per Share/CPI of Mar. 2014*CPI of Current
=1.19/236.293*238.786
=1.203

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

Current CPI = 238.786.

Group 1 Automotive Inc Quarterly Data

201112201203201206201209201212201303201306201309201312201403
per share eps 0.9460.9701.2001.3200.7370.8801.4301.1900.8421.190
CPI 225.672229.392229.478231.407229.601232.773233.504234.149233.049236.293
Adj_EPS 1.0011.0101.2491.3620.7660.9031.4621.2140.8631.203
200906200909200912201003201006201009201012201103201106201109
per share eps 0.4300.780-0.0850.3400.5400.7900.4700.6401.0300.910
CPI 215.693215.969215.949217.631217.965218.439219.179223.467225.722226.889
Adj_EPS 0.4760.862-0.0940.3730.5920.8640.5120.6841.0900.958
200806200809200812200903
per share eps 0.760-0.910-2.6990.370
CPI 218.815218.783210.228212.709
Adj_EPS 0.829-0.993-3.0660.415

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.

Group 1 Automotive Inc Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ShillerPE 13.3412.5518.448.255.4317.1623.0225.5229.7330.74

Group 1 Automotive Inc Quarterly Data

Dec11Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14
ShillerPE 25.5227.3322.0728.7329.7328.3829.4335.0730.7427.40
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