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Western Digital Corp (NAS:WDC)
Shiller P/E Ratio
15.73 (As of Today)

As of today, Western Digital Corp's current share price is $67.66. Western Digital Corp's E10 for the quarter that ended in Sep. 2016 was $4.30. Western Digital Corp's Shiller P/E Ratio for today is 15.73.

WDC' s Shiller P/E Ratio Range Over the Past 10 Years
Min: 7.67   Max: 1946.5
Current: 16.16

7.67
1946.5

During the past 13 years, Western Digital Corp's highest Shiller P/E Ratio was 1946.50. The lowest was 7.67. And the median was 17.78.

WDC's Shiller P/E Ratio is ranked higher than
80% of the 346 Companies
in the Global Data Storage industry.

( Industry Median: 31.70 vs. WDC: 16.16 )

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.

Western Digital Corp's adjusted earnings per share data for the three months ended in Sep. 2016 was $-1.280. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is $4.30 for the trailing ten years ended in Sep. 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.

Western Digital Corp's Shiller P/E Ratio for today is calculated as

Shiller P/E Ratio=Share Price/E10
=67.66/4.30
=15.73

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

Western Digital Corp's E10 for the fiscal year that ended in Jun15 is calculated as:

For example, Western Digital Corp's adjusted earnings per share data for the three months ended in Sep. 2016 was:

Adj_EPS=Earnigns per Share/CPI of Sep. 2016 (Change)*Current CPI (Sep. 2016)
=-1.28/241.428*241.428
=-1.280

Current CPI (Sep. 2016) = 241.428.

Western Digital Corp Quarterly Data

201406201409201412201503201506201509201512201603201606201609
per share eps 1.3101.7601.8401.6300.9501.2101.0700.320-1.610-1.280
CPI 238.343238.031234.812236.119238.638237.945236.525238.132241.018241.428
Adj_EPS 1.3271.7851.8921.6670.9611.2281.0920.324-1.613-1.280
201112201203201206201209201212201303201306201309201312201403
per share eps 0.6101.9602.9702.0601.3601.600-1.0702.0501.7701.550
CPI 225.672229.392229.478231.407229.601232.773233.504234.149233.049236.293
Adj_EPS 0.6532.0633.1252.1491.4301.659-1.1062.1141.8341.584
200906200909200912201003201006201009201012201103201106201109
per share eps 0.8601.2501.8501.7101.1100.8400.9600.6200.6701.010
CPI 215.693215.969215.949217.631217.965218.439219.179223.467225.722226.889
Adj_EPS 0.9631.3972.0681.8971.2290.9281.0570.6700.7171.075
200612200703200706200709200712200803200806200809200812200903
per share eps 0.5700.5300.9400.3101.3501.2300.9500.9300.0600.220
CPI 201.800205.352208.352208.490210.036213.528218.815218.783210.228212.709
Adj_EPS 0.6820.6231.0890.3591.5521.3911.0481.0260.0690.250

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 local exchange's currency.

Western Digital Corp Annual Data

Jun06Jun07Jun08Jun09Jun10Jun11Jun12Jun13Jun14Jun15
ShillerPE 0.000.002,275.7627.9515.7815.5310.0718.5622.8717.24

Western Digital Corp Quarterly Data

Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16Sep16
ShillerPE 22.8723.4325.9520.5417.2417.3112.9410.2310.5413.59
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