GURUFOCUS.COM » STOCK LIST » Communication Services » Media - Diversified » Time Warner Inc (NYSE:TWX) » Definitions » Shiller PE Ratio

Time Warner (Time Warner) Shiller PE Ratio : 40.15 (As of Apr. 26, 2024)


View and export this data going back to 1992. Start your Free Trial

What is Time Warner Shiller PE Ratio?

As of today (2024-04-26), Time Warner's current share price is $98.77. Time Warner's E10 for the quarter that ended in Mar. 2018 was $2.46. Time Warner's Shiller PE Ratio for today is 40.15.

The historical rank and industry rank for Time Warner's Shiller PE Ratio or its related term are showing as below:

TWX's Shiller PE Ratio is not ranked *
in the Media - Diversified industry.
Industry Median: 16.86
* Ranked among companies with meaningful Shiller PE Ratio only.

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

Time Warner's adjusted earnings per share data for the three months ended in Mar. 2018 was $2.070. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is $2.46 for the trailing ten years ended in Mar. 2018.

Shiller PE for Stocks: The True Measure of Stock Valuation


Time Warner Shiller PE Ratio Historical Data

The historical data trend for Time Warner's Shiller PE Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Time Warner Shiller PE Ratio Chart

Time Warner Annual Data
Trend Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17
Shiller PE Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 42.70 48.42 31.95 47.76 39.60

Time Warner Quarterly Data
Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18
Shiller PE Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 46.31 46.81 45.82 39.60 38.37

Competitive Comparison of Time Warner's Shiller PE Ratio

For the Broadcasting subindustry, Time Warner's Shiller PE Ratio, along with its competitors' market caps and Shiller PE Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Time Warner's Shiller PE Ratio Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Time Warner's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Time Warner's Shiller PE Ratio falls into.



Time Warner Shiller PE Ratio Calculation

For Shiller PE Ratio, 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 PE Ratio is also called PE10.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

Time Warner's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=98.77/2.46
=40.15

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Time Warner's E10 for the quarter that ended in Mar. 2018 is calculated as:

For example, Time Warner's adjusted earnings per share data for the three months ended in Mar. 2018 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Mar. 2018 (Change)*Current CPI (Mar. 2018)
=2.07/105.2895*105.2895
=2.070

Current CPI (Mar. 2018) = 105.2895.

Time Warner Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
200806 0.660 92.320 0.753
200809 0.890 92.307 1.015
200812 -13.430 88.697 -15.942
200903 0.550 89.744 0.645
200906 0.430 91.003 0.498
200909 0.550 91.120 0.636
200912 0.530 91.111 0.612
201003 0.620 91.821 0.711
201006 0.490 91.962 0.561
201009 0.460 92.162 0.526
201012 0.680 92.474 0.774
201103 0.590 94.283 0.659
201106 0.590 95.235 0.652
201109 0.780 95.727 0.858
201112 0.760 95.213 0.840
201203 0.590 96.783 0.642
201206 0.420 96.819 0.457
201209 0.840 97.633 0.906
201212 1.150 96.871 1.250
201303 0.790 98.209 0.847
201306 0.810 98.518 0.866
201309 1.260 98.790 1.343
201312 1.070 98.326 1.146
201403 1.420 99.695 1.500
201406 0.950 100.560 0.995
201409 1.110 100.428 1.164
201412 0.850 99.070 0.903
201503 1.150 99.621 1.215
201506 1.160 100.684 1.213
201509 1.260 100.392 1.321
201512 1.060 99.792 1.118
201603 1.510 100.470 1.582
201606 1.200 101.688 1.242
201609 1.860 101.861 1.923
201612 0.390 101.863 0.403
201703 1.800 102.862 1.842
201706 1.340 103.349 1.365
201709 1.730 104.136 1.749
201712 1.760 104.011 1.782
201803 2.070 105.290 2.070

Add all the adjusted EPS together and divide 10 will get our E10.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Time Warner  (NYSE:TWX) Shiller PE Ratio Explanation

Compared with the regular PE Ratio, which works poorly for cyclical businesses, the Shiller PE Ratio 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 PE Ratio should give similar results to regular PE Ratio.

Compared with the PS Ratio, the Shiller PE Ratio makes the comparison between different industries more meaningful.


Be Aware

Shiller PE Ratio 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, Shiller PE Ratio and PS Ratio will give false valuations.


Time Warner Shiller PE Ratio Related Terms

Thank you for viewing the detailed overview of Time Warner's Shiller PE Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Time Warner (Time Warner) Business Description

Traded in Other Exchanges
N/A
Address
Time Warner is a pure-play entertainment company that owns several television networks, including HBO, CNN, TNT, and the CW. The filmed entertainment segment creates and distributes movies and television programming for internal and external distribution outlets. Warner Bros. and New Line Cinema combine to form the largest filmmaker in the world. The company owns a deep and valuable content library that includes popular movie franchises such as DC Comics and Harry Potter and television programs such as Friends and The Big Bang Theory.
Executives
Fred Hassan director C/O CARET GROUP,, 1100 HOLLAND DR., BOCA RATON FL 33487
Douglas Edward Horne officer: SVP and Controller ONE TIME WARNER CENTER, NEW YORK NY 10019
Gary L Ginsberg officer: Executive Vice President TIME WARNER INC., ONE TIME WARNER CENTER, NEW YORK NY 10019
Olaf Olafsson officer: Executive Vice President C/O TIME WARNER INC. ONE TIME WARNER CENTER NEW YORK NY 10019
Paul Wachter director C/O TIME WARNER INC., ONE TIME WARNER CENTER, NEW YORK NY 10019
Robert C Clark director C/O TIME WARNER INC., ONE TIME WARNER CENTER, NEW YORK NY 10019
William P Barr director C/O TIME WARNER INC., ONE TIME WARNER CENTER, NEW YORK NY 10019
Howard M Averill officer: EVP and CFO CAMPBELL SOUP COMPANY, ONE CAMPBELL PLACE, CAMDEN NJ 08103
Paul T Cappuccio officer: EVP and General Counsel TIME WARNER INC., ONE TIME WARNER CENTER, NEW YORK NY 10019
Carlos M Gutierrez director 5 GREENWAY PLAZA, STE 110, HOUSTON TX 77046
Carol A Melton officer: Executive Vice President 4445 WILLARD AVENUE, SUITE 400, CHEVY CHASE MD 20815
Jessica P Einhorn director C/O BLACKROCK, INC., 55 EAST 52ND STREET, NEW YORK NY 10055
Mathias Dopfner director C/O TIME WARNER INC., ONE TIME WARNER CENTER, NEW YORK NY 10019
Deborah C Wright director CARVER BANCORP, INC, 75 W. 125TH STREET, NEW YORK NY 10027
James L Barksdale director C/O TIME WARNER INC., ONE TIME WARNER CENTER, NEW YORK NY 10019

Time Warner (Time Warner) Headlines

From GuruFocus

Speculating in Time Warner Shares

By Mark Yu Mark Yu 10-26-2016

Mario Gabelli Comments on Time Warner Inc.

By Holly LaFon Holly LaFon 05-12-2016

Bill Gross: The Problem Is Not the Tariffs

By Bram de Haas Bram de Haas 03-23-2018

Mario Gabelli Comments on Time Warner Inc.

By Holly LaFon Holly LaFon 08-15-2017

Dodge & Cox Buys Time Warner, VMWare, Wells Fargo

By Tiziano Frateschi Tiziano Frateschi 05-29-2018

Mario Gabelli Comments on Time Warner Inc

By Vera Yuan Vera Yuan 03-12-2015

Dealing With the Sting of Missed Gains

By OPM Insights Nelson Hsu 10-24-2016

5 Companies Hit 52-Week Highs

By yifan900 yifan900 01-05-2017

Brian Rogers Reduces Position in Time Warner

By David Goodloe David Goodloe 10-15-2015