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Service Stream (ASX:SSM) E10 : A$0.06 (As of Dec. 2023)


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What is Service Stream E10?

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.

Service Stream's adjusted earnings per share data for the fiscal year that ended in Jun. 2023 was A$0.007. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is A$0.06 for the trailing ten years ended in Jun. 2023.

During the past 3 years, the average E10 Growth Rate was 44.20% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the E10 growth rate using E10 data.

During the past 13 years, the highest 3-Year average E10 Growth Rate of Service Stream was 44.20% per year. The lowest was -37.00% per year. And the median was -2.35% per year.

As of today (2024-06-07), Service Stream's current stock price is A$ 1.23. Service Stream's E10 for the fiscal year that ended in Jun. 2023 was A$0.06. Service Stream's Shiller PE Ratio of today is 20.50.

During the past 13 years, the highest Shiller PE Ratio of Service Stream was 294.33. The lowest was 3.30. And the median was 48.62.


Service Stream E10 Historical Data

The historical data trend for Service Stream's E10 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.

Service Stream E10 Chart

Service Stream Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
E10
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.01 0.02 0.02 0.01 0.06

Service Stream Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
E10 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 - 0.01 - 0.06 -

Competitive Comparison of Service Stream's E10

For the Engineering & Construction subindustry, Service Stream'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.


Service Stream's Shiller PE Ratio Distribution in the Construction Industry

For the Construction industry and Industrials sector, Service Stream's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Service Stream's Shiller PE Ratio falls into.



Service Stream E10 Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller P/E calculation. When we calculate the today's Shiller P/E ratio of a stock, we use today's price divided by E10.

What is E10? How do we calculate E10?

E10 is the average of the inflation adjusted earnings of a company over the past 10 years. Let's use an example to explain.

If we want to calculate the E10 of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the earnings from 2001 through 2010.

We adjusted the earnings of 2001 earnings data with the total inflation from 2001 through 2010 to the equivalent earnings in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart earned $1 a share in 2001, then the 2001's equivalent earnings in 2010 is $1.4 a share. If Wal-Mart earns $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 earnings in 2010 is $1.35. So on and so forth, you get the equivalent earnings of past 10 years. Then you add them together and divided the sum by 10 to get 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.

For example, Service Stream's adjusted earnings per share data for the fiscal year that ended in Jun. 2023 was:

Adj_EPS=Earnings per Share (Diluted) /CPI of Jun. 2023 (Change)*Current CPI (Jun. 2023)
=0.007/124.1700*124.1700
=0.007

Current CPI (Jun. 2023) = 124.1700.

Service Stream Annual Data

per_share_eps CPI Adj_EPS
201406 0.008 98.352 0.010
201506 0.032 99.838 0.040
201606 0.050 100.859 0.062
201706 0.075 102.809 0.091
201806 0.109 104.945 0.129
201906 0.127 106.617 0.148
202006 0.119 106.246 0.139
202106 0.070 110.332 0.079
202206 -0.061 117.112 -0.065
202306 0.007 124.170 0.007

Add all the adjusted EPS together and divide 10 will get our e10.


Service Stream  (ASX:SSM) E10 Explanation

If a company grows much fast than inflation, E10 may underestimate the company's earnings power. Shiller PE Ratio can seem to be too high even the actual P/E is low.

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.

Service Stream's Shiller P/E Ratio of today is calculated as

Shiller PE Ratio=Share Price/E10
=1.23/0.06
=20.50

* 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.

During the past 13 years, the highest Shiller P/E Ratio of Service Stream was 294.33. The lowest was 3.30. And the median was 48.62.


Be Aware

Shiller PE Ratio works better for cyclical companies. It gives you a better idea on the company's real earnings power.


Service Stream E10 Related Terms

Thank you for viewing the detailed overview of Service Stream's E10 provided by GuruFocus.com. Please click on the following links to see related term pages.


Service Stream (ASX:SSM) Business Description

Traded in Other Exchanges
Address
357 Collins Street, Level 4, Melbourne, VIC, AUS, 3000
Service Stream Ltd is engaged in the provision of telecommunications and network services. The operating business segments are Telecommunications and Utilities. The Telecommunications segment provides a range of operations, maintenance, installation, design and construction services to the owners of fixed-line and wireless telecommunication networks in Australia. Utilities segment provide operations, maintenance, design and construction services, as well as specialist metering, new energy and inspection services to the gas, water and electricity network owners and others. It generates revenue from the provision of ticket of work services, delivery of projects, cost reimbursable contracts and overhead recovery.

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