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Ulta Salon Cosmetics & Fragrances Inc (NAS:ULTA)
Shiller P/E Ratio
60.30 (As of Today)

As of today, Ulta Salon Cosmetics & Fragrances Inc's current share price is $120.35. Ulta Salon Cosmetics & Fragrances Inc's E10 for the quarter that ended in Jul. 2014 was $2.00. Ulta Salon Cosmetics & Fragrances Inc's Shiller P/E Ratio for today is 60.30.

ULTA' s 10-Year Shiller P/E Ratio Range
Min: 45.22   Max: 121.49
Current: 60.3

45.22
121.49

During the past 12 years, Ulta Salon Cosmetics & Fragrances Inc's highest Shiller P/E Ratio was 121.49. The lowest was 45.22. And the median was 83.61.

ULTA's Shiller P/E Ratiois ranked higher than
73% of the 1199 Companies
in the Global Specialty Retail industry.

( Industry Median: 45.86 vs. ULTA: 60.30 )

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.

Ulta Salon Cosmetics & Fragrances Inc's adjusted earnings per share data for the three months ended in Jul. 2014 was $0.939. 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 $2.00 for the trailing six years ended in Jul. 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.

Ulta Salon Cosmetics & Fragrances Inc's Shiller P/E Ratio for today is calculated as

Shiller P/E Ratio=Share Price/E10
=120.35/2.00
=60.18

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

Ulta Salon Cosmetics & Fragrances Inc's E10 for the fiscal year that ended in Jan14 is calculated as:

For example, Ulta Salon Cosmetics & Fragrances Inc's adjusted earnings per share data for the three months ended in Jul. 2014 was:

Adj_EPS=Earnigns per Share/CPI of Jul. 2014*CPI of Current
=0.94/238.25*238.064
=0.939

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

Current CPI = 238.064.

Ulta Salon Cosmetics & Fragrances Inc Quarterly Data

201204201207201210201301201304201307201310201401201404201407
per share eps 0.5400.5400.5900.9970.6500.7000.7001.0950.7700.940
CPI 230.085229.104231.317230.280232.531233.596233.546233.916237.072238.250
Adj_EPS 0.5590.5610.6071.0310.6650.7130.7141.1140.7730.939
200910201001201004201007201010201101201104201107201110201201
per share eps 0.1400.3390.2300.2200.2300.4780.3700.3800.4200.725
CPI 216.177216.687218.009218.011218.711220.223224.906225.922226.421226.665
Adj_EPS 0.1540.3720.2510.2400.2500.5170.3920.4000.4420.761
200810200901200904200907
per share eps 0.0900.2090.0800.100
CPI 216.573211.143213.240215.351
Adj_EPS 0.0990.2360.0890.111

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.

Ulta Salon Cosmetics & Fragrances Inc Annual Data

Jan05Jan06Jan07Jan08Jan09Jan10Jan11Jan12Jan13Jan14
ShillerPE 0.000.000.000.000.000.0075.3798.7883.2750.36

Ulta Salon Cosmetics & Fragrances Inc Quarterly Data

Apr12Jul12Oct12Jan13Apr13Jul13Oct13Jan14Apr14Jul14
ShillerPE 102.0292.0990.4383.2768.4070.7684.0350.3647.3747.13
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