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M&T Bank Corp (NYSE:MTB)
Shiller P/E Ratio
16.38 (As of Today)

As of today, M&T Bank Corp's current share price is $118.26. M&T Bank Corp's E10 for the quarter that ended in Jun. 2015 was $7.22. M&T Bank Corp's Shiller P/E Ratio for today is 16.38.

MTB' s 10-Year Shiller P/E Ratio Range
Min: 5.06   Max: 23.73
Current: 16.4

5.06
23.73

During the past 13 years, M&T Bank Corp's highest Shiller P/E Ratio was 23.73. The lowest was 5.06. And the median was 16.79.

MTB's Shiller P/E Ratiois ranked lower than
54% of the 786 Companies
in the Global Banks - Regional - US industry.

( Industry Median: 15.81 vs. MTB: 16.40 )

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.

M&T Bank Corp's adjusted earnings per share data for the three months ended in Jun. 2015 was $1.980. 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 $7.22 for the trailing six years ended in Jun. 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.

M&T Bank Corp's Shiller P/E Ratio for today is calculated as

Shiller P/E Ratio=Share Price/E10
=118.26/7.22
=16.38

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

M&T Bank Corp's E10 for the fiscal year that ended in Dec14 is calculated as:

For example, M&T Bank Corp's adjusted earnings per share data for the three months ended in Jun. 2015 was:

Adj_EPS=Earnigns per Share/CPI of Jun. 2015*CPI of Current
=1.98/238.638*238.666
=1.980

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

Current CPI = 238.666.

M&T Bank Corp Quarterly Data

201303201306201309201312201403201406201409201412201503201506
per share eps 1.9802.5502.1101.5601.6101.9801.9101.9221.6501.980
CPI 232.773233.504234.149233.049236.293238.343238.031234.812236.119238.638
Adj_EPS 2.0302.6062.1511.5981.6261.9831.9151.9541.6681.980
201009201012201103201106201109201112201203201206201209201212
per share eps 1.4801.5871.5902.4201.3201.6651.5001.7102.1702.334
CPI 218.439219.179223.467225.722226.889225.672229.392229.478231.407229.601
Adj_EPS 1.6171.7281.6982.5591.3891.7611.5611.7782.2382.426
200909200912201003201006
per share eps 0.9701.0241.1501.460
CPI 215.969215.949217.631217.965
Adj_EPS 1.0721.1321.2611.599

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.

M&T Bank Corp Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ShillerPE 20.6320.4412.689.0711.1314.7312.8216.5418.4118.92

M&T Bank Corp Quarterly Data

Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15
ShillerPE 17.0618.1318.1218.4119.1919.2318.6218.9218.4317.30
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