Switch to:
Starwood Hotels & Resorts Worldwide Inc (NYSE:HOT)
Shiller P/E Ratio
26.28 (As of Today)

As of today, Starwood Hotels & Resorts Worldwide Inc's current share price is $78.06. Starwood Hotels & Resorts Worldwide Inc's E10 for the quarter that ended in Mar. 2016 was $2.97. Starwood Hotels & Resorts Worldwide Inc's Shiller P/E Ratio for today is 26.28.

HOT' s Shiller P/E Ratio Range Over the Past 10 Years
Min: 6.39   Max: 31.14
Current: 26.24

6.39
31.14

During the past 13 years, Starwood Hotels & Resorts Worldwide Inc's highest Shiller P/E Ratio was 31.14. The lowest was 6.39. And the median was 24.36.

HOT's Shiller P/E Ratio is ranked higher than
59% of the 171 Companies
in the Global Lodging industry.

( Industry Median: 24.22 vs. HOT: 26.24 )

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.

Starwood Hotels & Resorts Worldwide Inc's adjusted earnings per share data for the three months ended in Mar. 2016 was $0.530. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is $2.97 for the trailing ten years ended in Mar. 2016.


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.

Starwood Hotels & Resorts Worldwide Inc's Shiller P/E Ratio for today is calculated as

Shiller P/E Ratio=Share Price/E10
=78.06/2.97
=26.28

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

Starwood Hotels & Resorts Worldwide Inc's E10 for the fiscal year that ended in Dec15 is calculated as:

For example, Starwood Hotels & Resorts Worldwide Inc's adjusted earnings per share data for the three months ended in Mar. 2016 was:

Adj_EPS=Earnigns per Share/CPI of Mar. 2016 (Change)*Current CPI (Mar. 2016)
=0.53/238.132*238.132
=0.530

Current CPI (Mar. 2016) = 238.132.

Starwood Hotels & Resorts Worldwide Inc Quarterly Data

201403201406201409201412201503201506201509201512201603201606
per share eps 0.7200.8000.5901.2900.5800.7900.5300.9800.530-1.560
CPI 236.293238.343238.031234.812236.119238.638237.945236.525238.132240.724
Adj_EPS 0.7260.7990.5901.3080.5850.7880.5300.9870.530-1.543
201109201112201203201206201209201212201303201306201309201312
per share eps 0.8400.8500.6500.6200.8700.7201.0900.7100.8100.670
CPI 226.889225.672229.392229.478231.407229.601232.773233.504234.149233.049
Adj_EPS 0.8820.8970.6750.6430.8950.7471.1150.7240.8240.685
200903200906200909200912201003201006201009201012201103201106
per share eps 0.0300.7400.220-0.5900.1600.610-0.0301.7800.1400.680
CPI 212.709215.693215.969215.949217.631217.965218.439219.179223.467225.722
Adj_EPS 0.0340.8170.243-0.6510.1750.666-0.0331.9340.1490.717
200609200612200703200706200709200712200803200806200809200812
per share eps 0.7100.9500.5600.6700.6100.7300.1700.5600.6200.440
CPI 202.900201.800205.352208.352208.490210.036213.528218.815218.783210.228
Adj_EPS 0.8331.1210.6490.7660.6970.8280.1900.6090.6750.498

Add all the adjusted EPS together and divide 10 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.

Starwood Hotels & Resorts Worldwide Inc Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
ShillerPE 0.000.0011.9617.8929.1020.7923.1229.7529.1724.17

Starwood Hotels & Resorts Worldwide Inc Quarterly Data

Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16
ShillerPE 28.9629.2330.1429.1729.6028.4723.0824.1728.050.00
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)
FEEDBACK