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NetEase (NetEase) Shiller PE Ratio : 31.53 (As of May. 13, 2024)


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What is NetEase Shiller PE Ratio?

As of today (2024-05-13), NetEase's current share price is $20.18. NetEase's E10 for the quarter that ended in Dec. 2023 was $0.64. NetEase's Shiller PE Ratio for today is 31.53.

The historical rank and industry rank for NetEase's Shiller PE Ratio or its related term are showing as below:

NETTF' s Shiller PE Ratio Range Over the Past 10 Years
Min: 20.3   Med: 36.01   Max: 63.83
Current: 31.53

During the past years, NetEase's highest Shiller PE Ratio was 63.83. The lowest was 20.30. And the median was 36.01.

NETTF's Shiller PE Ratio is ranked worse than
61.67% of 180 companies
in the Interactive Media industry
Industry Median: 23.245 vs NETTF: 31.53

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

NetEase's adjusted earnings per share data for the three months ended in Dec. 2023 was $0.283. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is $0.64 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


NetEase Shiller PE Ratio Historical Data

The historical data trend for NetEase's Shiller PE 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.

NetEase Shiller PE Ratio Chart

NetEase Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Shiller PE Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 32.89 46.37 42.54 26.09 28.46

NetEase Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Shiller PE 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 26.09 30.48 31.89 31.43 28.46

Competitive Comparison of NetEase's Shiller PE Ratio

For the Electronic Gaming & Multimedia subindustry, NetEase'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.


NetEase's Shiller PE Ratio Distribution in the Interactive Media Industry

For the Interactive Media industry and Communication Services sector, NetEase's Shiller PE Ratio distribution charts can be found below:

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



NetEase Shiller PE Ratio Calculation

For Shiller PE Ratio, 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 PE Ratio is also called PE10.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

NetEase's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=20.18/0.64
=31.53

* 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.

NetEase's E10 for the quarter that ended in Dec. 2023 is calculated as:

For example, NetEase's adjusted earnings per share data for the three months ended in Dec. 2023 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=0.283/114.6694*114.6694
=0.283

Current CPI (Dec. 2023) = 114.6694.

NetEase Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201403 0.055 98.600 0.064
201406 0.059 98.200 0.069
201409 0.057 98.900 0.066
201412 0.063 99.000 0.073
201503 0.061 99.900 0.070
201506 0.069 99.500 0.080
201509 0.090 100.500 0.103
201512 0.101 100.600 0.115
201603 0.114 102.200 0.128
201606 0.124 101.400 0.140
201609 0.124 102.400 0.139
201612 0.160 102.600 0.179
201703 0.171 103.200 0.190
201706 0.132 103.100 0.147
201709 0.116 104.100 0.128
201712 0.059 104.500 0.065
201803 0.036 105.300 0.039
201806 0.101 104.900 0.110
201809 0.071 106.600 0.076
201812 0.077 106.500 0.083
201903 0.110 107.700 0.117
201906 0.138 107.700 0.147
201909 0.550 109.800 0.574
201912 0.133 111.200 0.137
202003 0.154 112.300 0.157
202006 0.195 110.400 0.203
202009 0.128 111.700 0.131
202012 0.044 111.500 0.045
202103 0.201 112.662 0.205
202106 0.163 111.769 0.167
202109 0.147 112.215 0.150
202112 0.268 113.108 0.272
202203 0.210 114.335 0.211
202206 0.239 114.558 0.239
202209 0.289 115.339 0.287
202212 0.174 115.116 0.173
202303 0.300 115.116 0.299
202306 0.355 114.558 0.355
202309 0.330 115.339 0.328
202312 0.283 114.669 0.283

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


NetEase  (OTCPK:NETTF) Shiller PE Ratio Explanation

Compared with the regular PE Ratio, which works poorly for cyclical businesses, the Shiller PE Ratio 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 PE Ratio should give similar results to regular PE Ratio.

Compared with the PS Ratio, the Shiller PE Ratio makes the comparison between different industries more meaningful.


Be Aware

Shiller PE Ratio 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, Shiller PE Ratio and PS Ratio will give false valuations.


NetEase Shiller PE Ratio Related Terms

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


NetEase (NetEase) Business Description

Address
No. 599 Wangshang Road, NetEase Building, Binjiang District, Hangzhou, CHN, 310052
NetEase, which started on an internet portal service in 1997, is a leading online services provider in China. Its key services include online/mobile games, cloud music, media, advertising, email, live streaming, online education, and e-commerce. The company develops and operates some of the China's most popular PC client and mobile games, and it partners with global leading game developers, such as Blizzard Entertainment and Mojang (a Microsoft subsidiary).