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Toll Brothers Inc (NYSE:TOL)
Shiller P/E Ratio
58.30 (As of Today)

As of today, Toll Brothers Inc's current share price is $29.15. Toll Brothers Inc's E10 for the quarter that ended in Jan. 2016 was $0.50. Toll Brothers Inc's Shiller P/E Ratio for today is 58.30.

TOL' s Shiller P/E Ratio Range Over the Past 10 Years
Min: 8.06   Max: 66.6
Current: 57.89

8.06
66.6

During the past 13 years, Toll Brothers Inc's highest Shiller P/E Ratio was 66.60. The lowest was 8.06. And the median was 17.79.

TOL's Shiller P/E Ratio is ranked lower than
70% of the 81 Companies
in the Global Residential Construction industry.

( Industry Median: 28.36 vs. TOL: 57.89 )

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.

Toll Brothers Inc's adjusted earnings per share data for the three months ended in Jan. 2016 was $0.400. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is $0.50 for the trailing ten years ended in Jan. 2016.


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.

Toll Brothers Inc's Shiller P/E Ratio for today is calculated as

Shiller P/E Ratio=Share Price/E10
=29.15/0.50
=58.30

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

Toll Brothers Inc's E10 for the fiscal year that ended in Oct15 is calculated as:

For example, Toll Brothers Inc's adjusted earnings per share data for the three months ended in Jan. 2016 was:

Adj_EPS=Earnigns per Share/CPI of Jan. 2016 (Change)*Current CPI (Jan. 2016)
=0.4/236.916*236.916
=0.400

Current CPI (Jan. 2016) = 236.916.

Toll Brothers Inc Quarterly Data

201401201404201407201410201501201504201507201510201601201604
per share eps 0.2500.3500.5300.7080.4400.3700.3600.7970.4000.510
CPI 233.916237.072238.250237.433233.707236.599238.654237.838236.916238.642
Adj_EPS 0.2530.3500.5270.7060.4460.3700.3570.7940.4000.506
201107201110201201201204201207201210201301201304201307201310
per share eps 0.2500.090-0.0200.1000.3602.3540.0300.1400.2600.533
CPI 225.922226.421226.665230.085229.104231.317230.280232.531233.596233.546
Adj_EPS 0.2620.094-0.0210.1030.3722.4110.0310.1430.2640.541
200901200904200907200910201001201004201007201010201101201104
per share eps -0.550-0.520-2.930-0.683-0.250-0.2400.1600.3040.020-0.120
CPI 211.143213.240215.351216.177216.687218.009218.011218.711220.223224.906
Adj_EPS -0.617-0.578-3.223-0.749-0.273-0.2610.1740.3290.022-0.126
200607200610200701200704200707200710200801200804200807200810
per share eps 1.0701.0650.3300.2200.160-0.522-0.610-0.590-0.180-0.493
CPI 203.500201.800202.416206.686208.299208.936211.080214.823219.964216.573
Adj_EPS 1.2461.2500.3860.2520.182-0.592-0.685-0.651-0.194-0.539

Add all the adjusted EPS together and divide 10 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.

Toll Brothers Inc Annual Data

Oct06Oct07Oct08Oct09Oct10Oct11Oct12Oct13Oct14Oct15
ShillerPE 14.0711.2012.4413.3615.1816.4127.8630.5733.4761.89

Toll Brothers Inc Quarterly Data

Jan14Apr14Jul14Oct14Jan15Apr15Jul15Oct15Jan16Apr16
ShillerPE 34.6332.5931.7033.4738.1142.6953.9161.8954.850.00
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