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Reynolds American (Reynolds American) Shiller PE Ratio : 37.59 (As of Apr. 26, 2024)


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What is Reynolds American Shiller PE Ratio?

As of today (2024-04-26), Reynolds American's current share price is $65.40. Reynolds American's E10 for the quarter that ended in Mar. 2017 was $1.74. Reynolds American's Shiller PE Ratio for today is 37.59.

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

RAI's Shiller PE Ratio is not ranked *
in the Tobacco Products industry.
Industry Median: 13.005
* Ranked among companies with meaningful Shiller PE Ratio only.

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.

Reynolds American's adjusted earnings per share data for the three months ended in Mar. 2017 was $0.550. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is $1.74 for the trailing ten years ended in Mar. 2017.

Shiller PE for Stocks: The True Measure of Stock Valuation


Reynolds American Shiller PE Ratio Historical Data

The historical data trend for Reynolds American'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.

Reynolds American Shiller PE Ratio Chart

Reynolds American Annual Data
Trend Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16
Shiller PE Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 60.01 21.31 26.80 33.82 33.01

Reynolds American Quarterly Data
Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17
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 31.87 33.13 28.47 33.01 36.29

Competitive Comparison of Reynolds American's Shiller PE Ratio

For the Tobacco subindustry, Reynolds American'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.


Reynolds American's Shiller PE Ratio Distribution in the Tobacco Products Industry

For the Tobacco Products industry and Consumer Defensive sector, Reynolds American's Shiller PE Ratio distribution charts can be found below:

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



Reynolds American 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.

Reynolds American's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=65.40/1.74
=37.59

* 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.

Reynolds American's E10 for the quarter that ended in Mar. 2017 is calculated as:

For example, Reynolds American's adjusted earnings per share data for the three months ended in Mar. 2017 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Mar. 2017 (Change)*Current CPI (Mar. 2017)
=0.55/102.8622*102.8622
=0.550

Current CPI (Mar. 2017) = 102.8622.

Reynolds American Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
200706 0.275 87.906 0.322
200709 0.303 87.964 0.354
200712 0.250 88.616 0.290
200803 0.428 90.090 0.489
200806 0.310 92.320 0.345
200809 0.180 92.307 0.201
200812 0.220 88.697 0.255
200903 0.008 89.744 0.009
200906 0.323 91.003 0.365
200909 0.310 91.120 0.350
200912 0.180 91.111 0.203
201003 0.070 91.821 0.078
201006 0.290 91.962 0.324
201009 0.325 92.162 0.363
201012 0.270 92.474 0.300
201103 0.325 94.283 0.355
201106 0.280 95.235 0.302
201109 0.335 95.727 0.360
201112 0.260 95.213 0.281
201203 0.235 96.783 0.250
201206 0.390 96.819 0.414
201209 0.370 97.633 0.390
201212 0.130 96.871 0.138
201303 0.460 98.209 0.482
201306 0.420 98.518 0.439
201309 0.420 98.790 0.437
201312 0.270 98.326 0.282
201403 0.335 99.695 0.346
201406 0.460 100.560 0.471
201409 0.440 100.428 0.451
201412 0.140 99.070 0.145
201503 0.360 99.621 0.372
201506 1.690 100.684 1.727
201509 0.460 100.392 0.471
201512 0.110 99.792 0.113
201603 2.490 100.470 2.549
201606 0.560 101.688 0.566
201609 0.600 101.861 0.606
201612 0.600 101.863 0.606
201703 0.550 102.862 0.550

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.


Reynolds American  (NYSE:RAI) 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.


Reynolds American Shiller PE Ratio Related Terms

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


Reynolds American (Reynolds American) Business Description

Traded in Other Exchanges
N/A
Address
Reynolds American controls roughly one third of the U.S. cigarette market and is the second-largest domestic cigarette manufacturer behind Altria. Its brands include Camel, Pall Mall, and Newport. Reynolds also owns the Grizzly and Kodiak smokeless tobacco brands. Another subsidiary, Santa Fe Natural Tobacco, manufactures superpremium Natural American Spirit cigarettes. In 2013, Reynolds entered the electronic cigarette market with its Vuse brand, which captured a significant share of this small but growing market.
Executives
John J Zillmer director ARAMARK CORP, 1101 MARKET ST, PHILADELPHIA PA 19107
Debra Ann Crew officer: President and CEO STANLEY BLACK & DECKER, INC., 1000 STANLEY DRIVE, NEW BRITAIN CT 06053
Ronald S Rolfe director 825 8TH AVENUE, 38TH FLOOR, NEW YORK NY 10019
Nowell Lionel L Iii director 401 NORTH MAIN STREET, WINSTON-SALEM NC 27101
Holly K Koeppel director 401 NORTH MAIN STREET, WINSTON-SALEM NC 27101
Susan M. Cameron director C/O TUPPERWARE BRANDS CORP, PO BOX 2353, ORLANDO FL 32802-2353
Murray S Kessler director 714 GREEN VALLEY ROAD, GREENSBORO NC 27408
Nana Mensah director 1301 AVENUE OF THE AMERICAS, NEW YORK NY 10019
Thomas C Wajnert director 401 NORTH MAIN STREET, WINSTON SALEM NC 27102
Richard E Thornburgh director 401 N. MAIN STREET, WINSTON-SALEM NC 27101
Nicholas V Scheele director FORD MOTOR COMPANY, ONE AMERICAN ROAD, DEARBORN MI 48126
Betsy S Atkins director
Joseph P Viviano director 4351 GULF SHORE BLVD. N, 17N LERIVAGE, NAPLES FL 34103
Monteiro De Castro Antonio director BRITISH AMERICAN TOBACCO - GLOBE HOUSE, 4 TEMPLE PLACE, LONDON X0 WC2R2PG
Chain John T Jr director 401 N. MAIN ST., C/O RJ REYNOLDS TOBACCO HOLDINGS, WINSTON SALEM NC 27102

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