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ON Semiconductor Corp (NAS:ONNN)
Shiller P/E Ratio
51.30 (As of Today)

As of today, ON Semiconductor Corp's current share price is \$11.80. ON Semiconductor Corp's E10 for the quarter that ended in Dec. 2014 was \$0.23. ON Semiconductor Corp's Shiller P/E Ratio for today is 51.30.

ONNN' s 10-Year Shiller P/E Ratio Range
Min: 23.96   Max: 838
Current: 50.49

23.96
838

During the past 13 years, ON Semiconductor Corp's highest Shiller P/E Ratio was 838.00. The lowest was 23.96. And the median was 42.76.

ONNN's Shiller P/E Ratiois ranked higher than
86% of the 1178 Companies
in the Global Semiconductors industry.

( Industry Median: 0.00 vs. ONNN: 50.49 )

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.

ON Semiconductor Corp's adjusted earnings per share data for the three months ended in Dec. 2014 was \$0.004. 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 \$0.23 for the trailing six years ended in Dec. 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.

ON Semiconductor Corp's Shiller P/E Ratio for today is calculated as

 Shiller P/E Ratio = Share Price / E10 = 11.80 / 0.23 = 51.30

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

ON Semiconductor Corp's E10 for the fiscal year that ended in Dec14 is calculated as:

For example, ON Semiconductor Corp's adjusted earnings per share data for the three months ended in Dec. 2014 was:

 Adj_EPS = Earnigns per Share / CPI of Dec. 2014 * CPI of Current = 0.004 / 234.812 * 233.808 = 0.004

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

Current CPI = 233.808.

ON Semiconductor Corp Quarterly Data

 201209 201212 201303 201306 201309 201312 201403 201406 201409 201412 per share eps 0.03 -0.308 0.05 0.11 0.110 0.064 0.130 0.200 0.090 0.004 CPI 231.407 229.601 232.773 233.504 234.149 233.049 236.293 238.343 238.031 234.812 Adj_EPS 0.03 -0.314 0.05 0.11 0.110 0.064 0.129 0.196 0.088 0.004 201003 201006 201009 201012 201103 201106 201109 201112 201203 201206 per share eps 0.14 0.18 0.2 0.133 0.080 0.070 -0.110 -0.020 0.060 0.020 CPI 217.631 217.965 218.439 219.179 223.467 225.722 226.889 225.672 229.392 229.478 Adj_EPS 0.15 0.193 0.214 0.142 0.084 0.073 -0.113 -0.021 0.061 0.020 200903 200906 200909 200912 per share eps -0.08 -0.01 0.07 0.144 CPI 212.709 215.693 215.969 215.949 Adj_EPS -0.088 -0.011 0.076 0.156

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

Historical Data

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

ON Semiconductor Corp Annual Data

 Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 ShillerPE 0.00 -6.55 -88.77 -33.04 202.39 37.20 32.74 127.52 0.00 43.34

ON Semiconductor Corp Quarterly Data

 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 ShillerPE 38.98 127.52 271.09 836.58 264.24 0.00 0.00 0.00 0.00 43.34
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