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HSBC Holdings (BUE:HSBC) Shiller PE Ratio : 13.44 (As of May. 11, 2024)


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What is HSBC Holdings Shiller PE Ratio?

As of today (2024-05-11), HSBC Holdings's current share price is ARS23501.00. HSBC Holdings's E10 for the quarter that ended in Mar. 2024 was ARS1,749.00. HSBC Holdings's Shiller PE Ratio for today is 13.44.

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

BUE:HSBC' s Shiller PE Ratio Range Over the Past 10 Years
Min: 6.75   Med: 11.48   Max: 16.84
Current: 13.67

During the past years, HSBC Holdings's highest Shiller PE Ratio was 16.84. The lowest was 6.75. And the median was 11.48.

BUE:HSBC's Shiller PE Ratio is ranked worse than
72.42% of 1135 companies
in the Banks industry
Industry Median: 10.37 vs BUE:HSBC: 13.67

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.

HSBC Holdings's adjusted earnings per share data for the three months ended in Mar. 2024 was ARS1,137.375. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is ARS1,749.00 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


HSBC Holdings Shiller PE Ratio Historical Data

The historical data trend for HSBC Holdings'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.

HSBC Holdings Shiller PE Ratio Chart

HSBC Holdings 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 13.49 9.43 11.27 11.85 -

HSBC Holdings Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 12.08 13.11 13.25 - 12.16

Competitive Comparison of HSBC Holdings's Shiller PE Ratio

For the Banks - Diversified subindustry, HSBC Holdings'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.


HSBC Holdings's Shiller PE Ratio Distribution in the Banks Industry

For the Banks industry and Financial Services sector, HSBC Holdings's Shiller PE Ratio distribution charts can be found below:

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



HSBC Holdings 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.

HSBC Holdings's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=23501.00/1749
=13.44

* 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.

HSBC Holdings's E10 for the quarter that ended in Mar. 2024 is calculated as:

For example, HSBC Holdings'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)
=1137.375/130.0000*130.0000
=1,137.375

Current CPI (Mar. 2024) = 130.0000.

HSBC Holdings Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201406 4.672 99.800 6.086
201409 3.578 100.000 4.651
201412 0.428 99.900 0.557
201503 5.733 99.600 7.483
201506 4.998 100.100 6.491
201509 5.876 100.200 7.624
201512 -2.589 100.400 -3.352
201603 8.032 100.400 10.400
201606 3.495 101.000 4.499
201609 -1.119 101.500 -1.433
201612 -8.719 102.200 -11.091
201703 6.167 102.700 7.806
201706 7.832 103.500 9.837
201709 6.571 104.300 8.190
201712 -0.644 105.000 -0.797
201803 7.556 105.100 9.346
201806 13.094 105.900 16.074
201809 17.480 106.600 21.317
201812 7.231 107.100 8.777
201903 20.522 107.000 24.933
201906 23.456 107.900 28.260
201909 20.972 108.400 25.151
201912 -39.888 108.500 -47.792
202003 13.966 108.600 16.718
202006 1.711 108.800 2.044
202009 12.992 109.200 15.467
202012 5.614 109.400 6.671
202103 42.788 109.700 50.706
202106 40.260 111.400 46.982
202109 41.556 112.400 48.063
202112 20.198 114.700 22.892
202203 37.580 116.500 41.935
202206 78.215 120.500 84.381
202209 34.737 122.300 36.924
202212 92.207 125.300 95.666
202303 256.815 126.800 263.296
202306 204.000 129.400 204.946
202309 253.714 130.100 253.519
202312 0.000 130.000 0.000
202403 1,137.375 130.000 1,137.375

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.


HSBC Holdings  (BUE:HSBC) 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.


HSBC Holdings Shiller PE Ratio Related Terms

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


HSBC Holdings (BUE:HSBC) Business Description

Address
8 Canada Square, London, GBR, E14 5HQ
Established in 1865 in Hong Kong, London-based HSBC is one of the largest banks in the world, with assets of USD 3 trillion and 40 million customers worldwide. It operates across 64 countries with around 220,000 full-time staff. Key regions include Asia, Europe, the Middle East and North Africa, and North America. The United Kingdom and Hong Kong are the two largest markets for the bank. The bank offers retail, commercial and institutional banking, global banking and markets, wealth management, and private banking.