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Arrow Electronics (STU:ARW) Cyclically Adjusted PB Ratio : 1.69 (As of May. 30, 2024)


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What is Arrow Electronics Cyclically Adjusted PB Ratio?

As of today (2024-05-30), Arrow Electronics's current share price is €118.00. Arrow Electronics's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2024 was €69.87. Arrow Electronics's Cyclically Adjusted PB Ratio for today is 1.69.

The historical rank and industry rank for Arrow Electronics's Cyclically Adjusted PB Ratio or its related term are showing as below:

STU:ARW' s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 0.99   Med: 1.82   Max: 2.32
Current: 1.69

During the past years, Arrow Electronics's highest Cyclically Adjusted PB Ratio was 2.32. The lowest was 0.99. And the median was 1.82.

STU:ARW's Cyclically Adjusted PB Ratio is ranked worse than
51.01% of 1880 companies
in the Hardware industry
Industry Median: 1.66 vs STU:ARW: 1.69

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

Arrow Electronics's adjusted book value per share data for the three months ended in Mar. 2024 was €98.501. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is €69.87 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Arrow Electronics Cyclically Adjusted PB Ratio Historical Data

The historical data trend for Arrow Electronics's Cyclically Adjusted PB 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.

Arrow Electronics Cyclically Adjusted PB Ratio Chart

Arrow Electronics Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.79 1.90 2.30 1.58 1.67

Arrow Electronics Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted PB 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 1.82 2.03 1.73 1.67 1.70

Competitive Comparison of Arrow Electronics's Cyclically Adjusted PB Ratio

For the Electronics & Computer Distribution subindustry, Arrow Electronics's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB 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.


Arrow Electronics's Cyclically Adjusted PB Ratio Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Arrow Electronics's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where Arrow Electronics's Cyclically Adjusted PB Ratio falls into.



Arrow Electronics Cyclically Adjusted PB Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.

Arrow Electronics's Cyclically Adjusted PB Ratio for today is calculated as

Cyclically Adjusted PB Ratio=Share Price/ Cyclically Adjusted Book per Share
=118.00/69.87
=1.69

* 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.

Arrow Electronics's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, Arrow Electronics's adjusted Book Value per Share data for the three months ended in Mar. 2024 was:

Adj_Book=Book Value per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=98.501/131.7762*131.7762
=98.501

Current CPI (Mar. 2024) = 131.7762.

Arrow Electronics Quarterly Data

Book Value per Share CPI Adj_Book
201406 32.056 100.560 42.007
201409 33.606 100.428 44.096
201412 35.131 99.070 46.729
201503 38.761 99.621 51.272
201506 38.918 100.684 50.936
201509 39.613 100.392 51.997
201512 41.824 99.792 55.229
201603 42.334 100.470 55.525
201606 42.814 101.688 55.482
201609 44.015 101.861 56.942
201612 47.057 101.863 60.876
201703 47.494 102.862 60.844
201706 47.462 103.349 60.517
201709 46.538 104.136 58.891
201712 47.692 104.011 60.423
201803 47.201 105.290 59.075
201806 50.143 106.317 62.151
201809 51.633 106.507 63.883
201812 54.943 105.998 68.305
201903 56.619 107.251 69.566
201906 50.761 108.070 61.896
201909 52.092 108.329 63.367
201912 53.718 108.420 65.290
202003 52.863 108.902 63.967
202006 53.712 108.767 65.074
202009 53.601 109.815 64.320
202012 55.896 109.897 67.024
202103 58.526 111.754 69.011
202106 59.426 114.631 68.314
202109 62.833 115.734 71.542
202112 68.681 117.630 76.941
202203 73.392 121.301 79.730
202206 78.202 125.017 82.430
202209 85.317 125.227 89.779
202212 88.369 125.222 92.994
202303 90.626 127.348 93.777
202306 92.634 128.729 94.827
202309 94.907 129.860 96.308
202312 98.932 129.419 100.734
202403 98.501 131.776 98.501

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.

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.


Arrow Electronics  (STU:ARW) Cyclically Adjusted PB Ratio Explanation

Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.


Arrow Electronics Cyclically Adjusted PB Ratio Related Terms

Thank you for viewing the detailed overview of Arrow Electronics's Cyclically Adjusted PB Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Arrow Electronics (STU:ARW) Business Description

Industry
Traded in Other Exchanges
Address
9201 East Dry Creek Road, Centennial, CO, USA, 80112
Arrow Electronics Inc. is a provider of products, services, and solutions to industrial and commercial users of electronic components and enterprise computing solutions. It has one of the world's broadest portfolios of product offerings available from electronic components and enterprise computing solutions suppliers, coupled with a range of services, solutions, and software, the company helps industrial and commercial customers introduce products, reduce their time to market, and enhance their overall competitiveness. The company has two business segments, the components business and the enterprise computing solutions.