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Hi-Tech Pharmacal Co., Inc. (NAS:HITK)
Shiller P/E Ratio
20.07 (As of Today)

As of today, Hi-Tech Pharmacal Co., Inc.'s current share price is $43.49. Hi-Tech Pharmacal Co., Inc.'s E10 for the quarter that ended in Jan. 2014 was $2.17. Hi-Tech Pharmacal Co., Inc.'s Shiller P/E Ratio for today is 20.07.

HITK' s 10-Year Shiller P/E Ratio Range
Min: 11.8   Max: 66.79
Current: 20.07

11.8
66.79

During the past 13 years, Hi-Tech Pharmacal Co., Inc.'s highest Shiller P/E Ratio was 66.79. The lowest was 11.80. And the median was 26.00.

HITK's Shiller P/E Ratiois ranked higher than
87% of the 807 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 9999.00 vs. HITK: 20.07 )

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.

Hi-Tech Pharmacal Co., Inc.'s adjusted earnings per share data for the three months ended in Jan. 2014 was $0.603. 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 $2.17 for the trailing six years ended in Jan. 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.

Hi-Tech Pharmacal Co., Inc.'s Shiller P/E Ratio for today is calculated as

Shiller P/E Ratio=Share Price/E10
=43.49/2.17
=20.04

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

Hi-Tech Pharmacal Co., Inc.'s E10 for the fiscal year that ended in Apr13 is calculated as:

For example, Hi-Tech Pharmacal Co., Inc.'s adjusted earnings per share data for the three months ended in Jan. 2014 was:

Adj_EPS=Earnigns per Share/CPI of Jan. 2014*CPI of Current
=0.59/233.916*239.229
=0.603

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

Current CPI = 239.229.

Hi-Tech Pharmacal Co., Inc. Quarterly Data

201110201201201204201207201210201301201304201307201310201401
per share eps 1.0400.7900.7310.4400.6600.430-0.3400.3300.0800.590
CPI 226.421226.665230.085229.104231.317230.280232.531233.596233.546233.916
Adj_EPS 1.0990.8340.7600.4590.6830.447-0.3500.3380.0820.603
200904200907200910201001201004201007201010201101201104201107
per share eps 0.4460.7300.6000.6700.5040.6700.7600.7900.9691.050
CPI 213.240215.351216.177216.687218.009218.011218.711220.223224.906225.922
Adj_EPS 0.5000.8110.6640.7400.5530.7350.8310.8581.0311.112
200804200807200810200901
per share eps 0.0250.1300.0900.180
CPI 214.823219.964216.573211.143
Adj_EPS 0.0280.1410.0990.204

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.

Hi-Tech Pharmacal Co., Inc. Annual Data

Apr04Apr05Apr06Apr07Apr08Apr09Apr10Apr11Apr12Apr13
ShillerPE 41.3437.6445.0127.6524.2718.8533.3023.5419.8317.46

Hi-Tech Pharmacal Co., Inc. Quarterly Data

Oct11Jan12Apr12Jul12Oct12Jan13Apr13Jul13Oct13Jan14
ShillerPE 24.3525.6119.8319.8416.9219.3117.4617.8421.1019.97
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