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Titanium Metals Corporation (NYSE:TIE)
Shiller P/E Ratio
18.60 (As of Today)

As of today, Titanium Metals Corporation's current share price is $16.50. Titanium Metals Corporation's E10 for the quarter that ended in Sep. 2012 was $0.00. Titanium Metals Corporation's Shiller P/E Ratio for today is 18.60.

TIE' s 10-Year Shiller P/E Ratio Range
Min: 0   Max: 18.6
Current: 18.6

0
18.6

During the past 13 years, Titanium Metals Corporation's highest Shiller P/E Ratio was 18.60. The lowest was 0.00. And the median was 0.00.

TIE's Shiller P/E Ratiois ranked lower than
100% of the Companies
in the Global industry.

( Industry Median: vs. TIE: 18.60 )

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.

Titanium Metals Corporation's adjusted earnings per share data of for the fiscal year that ended in Dec11 was $0.675. 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 $0.00 for the trailing six years ended in Dec11.


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.

Titanium Metals Corporation's Shiller P/E Ratio for today is calculated as

Shiller P/E Ratio=Share Price/E10
=16.50/0.00
=

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

Titanium Metals Corporation's E10 for the quarter that ended in Sep. 2012 is calculated as:

For example, Titanium Metals Corporation's adjusted earnings per share data for the fiscal year that ended in Dec11 was:

Adj_EPS=Earnigns per Share/CPI of Dec11*CPI of Current
=0.64/225.672*238.064
=0.675

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

Current CPI = 238.064.

Titanium Metals Corporation Annual Data

200612200712200812200912201012201112
per share eps 1.5301.4600.8900.1900.4500.640
CPI 201.800210.036210.228215.949219.179225.672
Adj_EPS 1.8051.6551.0080.2090.4890.675

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.

Titanium Metals Corporation Annual Data

Dec02Dec03Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11
ShillerPE 0.00-6.74-13.16-4,824.3483.4237.589.2612.1416.0114.97

Titanium Metals Corporation Semi-Annual Data

Jun10Sep10Dec10Mar11Jun11Sep11Dec11Mar12Jun12Sep12
ShillerPE 16.3718.8616.0117.4817.4014.5814.9714.1012.1514.47
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