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Tiffany & Co (NYSE:TIF)
Shiller P/E Ratio
36.90 (As of Today)

As of today, Tiffany & Co's current share price is $99.70. Tiffany & Co's E10 for the quarter that ended in Apr. 2014 was $2.71. Tiffany & Co's Shiller P/E Ratio for today is 36.90.

TIF' s 10-Year Shiller P/E Ratio Range
Min: 8.65   Max: 42.75
Current: 36.9

8.65
42.75

During the past 13 years, Tiffany & Co's highest Shiller P/E Ratio was 42.75. The lowest was 8.65. And the median was 24.25.

TIF's Shiller P/E Ratiois ranked higher than
77% of the 1169 Companies
in the Global Luxury Goods industry.

( Industry Median: 9999.00 vs. TIF: 36.90 )

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.

Tiffany & Co's adjusted earnings per share data for the three months ended in Apr. 2014 was $0.980. 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 $2.71 for the trailing six years ended in Apr. 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.

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

Shiller P/E Ratio=Share Price/E10
=99.70/2.71
=36.79

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

Tiffany & Co's E10 for the fiscal year that ended in Jan14 is calculated as:

For example, Tiffany & Co's adjusted earnings per share data for the three months ended in Apr. 2014 was:

Adj_EPS=Earnigns per Share/CPI of Apr. 2014*CPI of Current
=0.97/237.072*239.556
=0.980

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

Current CPI = 239.556.

Tiffany & Co Quarterly Data

201201201204201207201210201301201304201307201310201401201404
per share eps 1.3900.6400.7200.4901.4040.6500.8300.730-0.8080.970
CPI 226.665230.085229.104231.317230.280232.531233.596233.546233.916237.072
Adj_EPS 1.4690.6660.7530.5071.4610.6700.8510.749-0.8270.980
200907200910201001201004201007201010201101201104201107201110
per share eps 0.4600.3501.1030.5000.5300.4301.4070.6300.6900.700
CPI 215.351216.177216.687218.009218.011218.711220.223224.906225.922226.421
Adj_EPS 0.5120.3881.2190.5490.5820.4711.5310.6710.7320.741
200807200810200901200904
per share eps 0.6300.3500.2500.200
CPI 219.964216.573211.143213.240
Adj_EPS 0.6860.3870.2840.225

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.

Tiffany & Co Annual Data

Jan05Jan06Jan07Jan08Jan09Jan10Jan11Jan12Jan13Jan14
ShillerPE 21.8523.6022.8420.3110.4219.3526.2125.3424.0032.08

Tiffany & Co Quarterly Data

Jan12Apr12Jul12Oct12Jan13Apr13Jul13Oct13Jan14Apr14
ShillerPE 25.3426.1820.6823.2224.0026.3127.5027.5232.0832.25
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