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JPMorgan Chase & Co (NYSE:JPM)
Shiller P/E Ratio
13.22 (As of Today)

As of today, JPMorgan Chase & Co's current share price is $57.49. JPMorgan Chase & Co's E10 for the quarter that ended in Sep. 2015 was $4.35. JPMorgan Chase & Co's Shiller P/E Ratio for today is 13.22.

JPM' s Shiller P/E Ratio Range Over the Past 10 Years
Min: 5.79   Max: 18.81
Current: 13.21

5.79
18.81

During the past 13 years, JPMorgan Chase & Co's highest Shiller P/E Ratio was 18.81. The lowest was 5.79. And the median was 14.80.

JPM's Shiller P/E Ratio is ranked higher than
66% of the 682 Companies
in the Global Banks - Global industry.

( Industry Median: 15.24 vs. JPM: 13.21 )

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.

JPMorgan Chase & Co's adjusted earnings per share data for the three months ended in Sep. 2015 was $1.680. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is $4.35 for the trailing ten years ended in Sep. 2015.


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.

JPMorgan Chase & Co's Shiller P/E Ratio for today is calculated as

Shiller P/E Ratio=Share Price/E10
=57.49/4.35
=13.22

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

JPMorgan Chase & Co's E10 for the fiscal year that ended in Dec14 is calculated as:

For example, JPMorgan Chase & Co's adjusted earnings per share data for the three months ended in Sep. 2015 was:

Adj_EPS=Earnigns per Share/CPI of Sep. 2015 (Change)*Current CPI (Sep. 2015)
=1.68/237.945*237.945
=1.680

Current CPI (Sep. 2015) = 237.945.

JPMorgan Chase & Co Quarterly Data

201309201312201403201406201409201412201503201506201509201512
per share eps -0.1701.3001.2801.4601.3501.2001.4501.5401.6801.320
CPI 234.149233.049236.293238.343238.031234.812236.119238.638237.945236.525
Adj_EPS -0.1731.3271.2891.4581.3501.2161.4611.5361.6801.328
201103201106201109201112201203201206201209201212201303201306
per share eps 1.2801.2701.0200.9101.1901.2101.4001.3901.5901.600
CPI 223.467225.722226.889225.672229.392229.478231.407229.601232.773233.504
Adj_EPS 1.3631.3391.0700.9591.2341.2551.4401.4411.6251.630
200809200812200903200906200909200912201003201006201009201012
per share eps 0.0900.0500.4000.2800.8200.7500.7401.0901.0101.120
CPI 218.783210.228212.709215.693215.969215.949217.631217.965218.439219.179
Adj_EPS 0.0980.0570.4470.3090.9030.8260.8091.1901.1001.216
200603200606200609200612200703200706200709200712200803200806
per share eps 0.8600.9900.9201.2601.3401.2000.9700.8600.6800.530
CPI 199.800202.900202.900201.800205.352208.352208.490210.036213.528218.815
Adj_EPS 1.0241.1611.0791.4861.5531.3701.1070.9740.7580.576

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.

JPMorgan Chase & Co Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
ShillerPE 17.1314.3711.2515.8615.8410.7312.2915.9415.490.00

JPMorgan Chase & Co Quarterly Data

Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15
ShillerPE 14.1615.9416.3314.6414.9815.4914.7515.8714.010.00
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