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Linear Technology (FRA:LTC) Cyclically Adjusted PB Ratio : (As of May. 28, 2024)


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What is Linear Technology Cyclically Adjusted PB Ratio?

Shiller PE for Stocks: The True Measure of Stock Valuation


Linear Technology Cyclically Adjusted PB Ratio Historical Data

The historical data trend for Linear Technology's Cyclically Adjusted PB 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.

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Linear Technology Cyclically Adjusted PB Ratio Chart

Linear Technology Annual Data
Trend Jun07 Jun08 Jun09 Jun10 Jun11 Jun12 Jun13 Jun14 Jun15 Jun16
Cyclically Adjusted PB Ratio
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Linear Technology Quarterly Data
Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16
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Competitive Comparison of Linear Technology's Cyclically Adjusted PB Ratio

For the Semiconductors subindustry, Linear Technology's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB 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.


Linear Technology's Cyclically Adjusted PB Ratio Distribution in the Semiconductors Industry

For the Semiconductors industry and Technology sector, Linear Technology's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where Linear Technology's Cyclically Adjusted PB Ratio falls into.



Linear Technology Cyclically Adjusted PB Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.

Linear Technology's Cyclically Adjusted Book per Share for the quarter that ended in Dec. 2016 is calculated as:

For example, Linear Technology's adjusted Book Value per Share data for the three months ended in Dec. 2016 was:

Adj_Book=Book Value per Share/CPI of Dec. 2016 (Change)*Current CPI (Dec. 2016)
=7.404/101.8627*101.8627
=7.404

Current CPI (Dec. 2016) = 101.8627.

Linear Technology Quarterly Data

Book Value per Share CPI Adj_Book
200703 5.487 86.640 6.451
200706 -2.297 87.906 -2.662
200709 -2.046 87.964 -2.369
200712 -1.731 88.616 -1.990
200803 -1.420 90.090 -1.606
200806 -1.260 92.320 -1.390
200809 -1.190 92.307 -1.313
200812 -1.033 88.697 -1.186
200903 -0.996 89.744 -1.130
200906 -0.599 91.003 -0.670
200909 -0.505 91.120 -0.565
200912 -0.351 91.111 -0.392
201003 -0.167 91.821 -0.185
201006 0.145 91.962 0.161
201009 0.503 92.162 0.556
201012 0.931 92.474 1.026
201103 1.238 94.283 1.338
201106 1.542 95.235 1.649
201109 1.738 95.727 1.849
201112 2.014 95.213 2.155
201203 2.244 96.783 2.362
201206 2.552 96.819 2.685
201209 2.702 97.633 2.819
201212 2.609 96.871 2.743
201303 3.146 98.209 3.263
201306 3.194 98.518 3.302
201309 3.366 98.790 3.471
201312 3.533 98.326 3.660
201403 3.745 99.695 3.826
201406 4.098 100.560 4.151
201409 4.492 100.428 4.556
201412 4.882 99.070 5.020
201503 5.832 99.621 5.963
201506 5.864 100.684 5.933
201509 5.908 100.392 5.995
201512 6.305 99.792 6.436
201603 6.320 100.470 6.408
201606 6.533 101.688 6.544
201609 6.714 101.861 6.714
201612 7.404 101.863 7.404

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.

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.


Linear Technology  (FRA:LTC) Cyclically Adjusted PB Ratio Explanation

Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.


Linear Technology Cyclically Adjusted PB Ratio Related Terms

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Linear Technology (FRA:LTC) Business Description

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Linear Technology designs and manufactures standard high-performance analog integrated circuits for a diverse customer base spanning industrial, automotive, communications, and high-end consumer electronics. The firm offers thousands of analog products to tens of thousands of original equipment manufacturers globally. Most of its products support functions such as power management, data interface, and conversion. International markets account for the lion's share of Linear's revenue.