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Mettler-Toledo International, Inc. (NYSE:MTD)
Shiller P/E Ratio
29.82 (As of Today)

As of today, Mettler-Toledo International, Inc.'s current share price is $233.50. Mettler-Toledo International, Inc.'s E10 for the quarter that ended in Dec. 2013 was $7.83. Mettler-Toledo International, Inc.'s Shiller P/E Ratio for today is 29.82.

MTD' s 10-Year Shiller P/E Ratio Range
Min: 12.15   Max: 38.51
Current: 29.82

12.15
38.51

During the past 13 years, Mettler-Toledo International, Inc.'s highest Shiller P/E Ratio was 38.51. The lowest was 12.15. And the median was 26.43.

MTD's Shiller P/E Ratiois ranked higher than
60% of the 126 Companies
in the Global Medical Instruments & Supplies industry.

( Industry Median: 25.28 vs. MTD: 29.82 )

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.

Mettler-Toledo International, Inc.'s adjusted earnings per share data for the three months ended in Dec. 2013 was $3.677. 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 $7.83 for the trailing six years ended in Dec. 2013.


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.

Mettler-Toledo International, Inc.'s Shiller P/E Ratio for today is calculated as

Shiller P/E Ratio=Share Price/E10
=233.50/7.83
=29.82

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

Mettler-Toledo International, Inc.'s E10 for the fiscal year that ended in Dec13 is calculated as:

For example, Mettler-Toledo International, Inc.'s adjusted earnings per share data for the three months ended in Dec. 2013 was:

Adj_EPS=Earnigns per Share/CPI of Dec. 2013*CPI of Current
=3.623/233.049*236.511
=3.677

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

Current CPI = 236.511.

Mettler-Toledo International, Inc. Quarterly Data

201109201112201203201206201209201212201303201306201309201312
per share eps 2.0902.9111.6201.9302.2803.3461.6902.2402.4303.623
CPI 226.889225.672229.392229.478231.407229.601232.773233.504234.149233.049
Adj_EPS 2.1793.0511.6701.9892.3303.4471.7172.2692.4553.677
200903200906200909200912201003201006201009201012201103201106
per share eps 1.0000.8101.2102.0091.1001.4901.8202.4061.4101.820
CPI 212.709215.693215.969215.949217.631217.965218.439219.179223.467225.722
Adj_EPS 1.1120.8881.3252.2001.1951.6171.9712.5961.4921.907
200803200806200809200812
per share eps 1.0601.3801.5201.842
CPI 213.528218.815218.783210.228
Adj_EPS 1.1741.4921.6432.072

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.

Mettler-Toledo International, Inc. Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ShillerPE 25.8524.6030.0535.8018.1124.8930.3824.5927.9630.98

Mettler-Toledo International, Inc. Quarterly Data

Sep11Dec11Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13
ShillerPE 24.2424.5929.4024.1825.6127.9629.9727.3431.8130.98
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