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Legrand (XPAR:LR) E10 : €3.31 (As of Mar. 2024)


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What is Legrand 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.

Legrand's adjusted earnings per share data for the three months ended in Mar. 2024 was €1.046. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is €3.31 for the trailing ten years ended in Mar. 2024.

During the past 12 months, Legrand's average E10 Growth Rate was 8.20% per year. During the past 3 years, the average E10 Growth Rate was 10.40% per year. During the past 5 years, the average E10 Growth Rate was 8.70% 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 Legrand was 10.40% per year. The lowest was 4.20% per year. And the median was 7.75% per year.

As of today (2024-05-20), Legrand's current stock price is €101.10. Legrand's E10 for the quarter that ended in Mar. 2024 was €3.31. Legrand's Shiller PE Ratio of today is 30.54.

During the past 13 years, the highest Shiller PE Ratio of Legrand was 39.73. The lowest was 22.08. And the median was 29.53.


Legrand E10 Historical Data

The historical data trend for Legrand'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.

Legrand E10 Chart

Legrand Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
E10
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.32 2.40 2.61 2.92 3.23

Legrand Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 3.06 3.14 3.20 3.23 3.31

Competitive Comparison of Legrand's E10

For the Electrical Equipment & Parts subindustry, Legrand'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.


Legrand's Shiller PE Ratio Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Legrand's Shiller PE Ratio distribution charts can be found below:

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



Legrand 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, Legrand's adjusted earnings per share data for the three months ended in Mar. 2024 was:

Adj_EPS= Earnings per Share (Diluted) /CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=1.046/119.4700*119.4700
=1.046

Current CPI (Mar. 2024) = 119.4700.

Legrand Quarterly Data

per share eps CPI Adj_EPS
201406 0.535 100.180 0.638
201409 0.478 99.920 0.572
201412 0.502 99.860 0.601
201503 0.474 100.170 0.565
201506 0.585 100.440 0.696
201509 0.498 99.950 0.595
201512 0.500 100.040 0.597
201603 0.474 100.020 0.566
201606 0.587 100.630 0.697
201609 0.534 100.340 0.636
201612 0.756 100.650 0.897
201703 0.555 101.170 0.655
201706 0.621 101.320 0.732
201709 0.588 101.330 0.693
201712 0.882 101.850 1.035
201803 0.650 102.750 0.756
201806 0.797 103.370 0.921
201809 0.686 103.560 0.791
201812 0.736 103.470 0.850
201903 0.708 103.890 0.814
201906 0.834 104.580 0.953
201909 0.780 104.500 0.892
201912 0.781 104.980 0.889
202003 0.620 104.590 0.708
202006 0.440 104.790 0.502
202009 0.772 104.550 0.882
202012 0.699 104.960 0.796
202103 0.847 105.750 0.957
202106 0.941 106.340 1.057
202109 0.812 106.810 0.908
202112 0.766 107.850 0.849
202203 0.961 110.490 1.039
202206 1.079 112.550 1.145
202209 0.984 112.740 1.043
202212 0.702 114.160 0.735
202303 1.232 116.790 1.260
202306 1.196 117.650 1.215
202309 1.075 118.260 1.086
202312 0.801 118.390 0.808
202403 1.046 119.470 1.046

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


Legrand  (XPAR:LR) 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.

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

Shiller PE Ratio=Share Price/E10
=101.10/3.31
=30.54

* 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 Legrand was 39.73. The lowest was 22.08. And the median was 29.53.


Be Aware

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


Legrand E10 Related Terms

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


Legrand (XPAR:LR) Business Description

Address
128, Avenue de Lattre de Tassigny, Cedex, Limoges, FRA, 87045
Legrand is a global manufacturer of low-voltage electrical components, which are mostly used in residential (40%) and nonresidential (40%) buildings. Its products include wiring devices, cable management, lighting, and audio visual equipment, sold under approximately 80 brands across 180 countries. Its products are sold primarily through specialist distributors that subsequently sell to installers/electricians. Legrand is a major supplier to global electrical equipment distributors, including Rexel and Sonepar. North America and Europe each account for 40% of group sales.

Legrand (XPAR:LR) Headlines

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