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Eaton (BSP:E1TN34) Cyclically Adjusted PS Ratio : 6.15 (As of May. 01, 2024)


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What is Eaton Cyclically Adjusted PS Ratio?

As of today (2024-05-01), Eaton's current share price is R$117.61. Eaton's Cyclically Adjusted Revenue per Share for the quarter that ended in Dec. 2023 was R$19.12. Eaton's Cyclically Adjusted PS Ratio for today is 6.15.

The historical rank and industry rank for Eaton's Cyclically Adjusted PS Ratio or its related term are showing as below:

BSP:E1TN34' s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 1.08   Med: 1.76   Max: 5.93
Current: 5.86

During the past years, Eaton's highest Cyclically Adjusted PS Ratio was 5.93. The lowest was 1.08. And the median was 1.76.

BSP:E1TN34's Cyclically Adjusted PS Ratio is ranked worse than
89.66% of 2156 companies
in the Industrial Products industry
Industry Median: 1.43 vs BSP:E1TN34: 5.86

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

Eaton's adjusted revenue per share data for the three months ended in Dec. 2023 was R$5.199. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is R$19.12 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


Eaton Cyclically Adjusted PS Ratio Historical Data

The historical data trend for Eaton's Cyclically Adjusted PS 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.

Eaton Cyclically Adjusted PS Ratio Chart

Eaton Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.01 2.57 3.50 2.95 4.32

Eaton Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Cyclically Adjusted PS 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 2.95 3.15 3.63 3.82 4.32

Competitive Comparison of Eaton's Cyclically Adjusted PS Ratio

For the Specialty Industrial Machinery subindustry, Eaton's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS 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.


Eaton's Cyclically Adjusted PS Ratio Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Eaton's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where Eaton's Cyclically Adjusted PS Ratio falls into.



Eaton Cyclically Adjusted PS Ratio Calculation

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

Eaton's Cyclically Adjusted PS Ratio for today is calculated as

Cyclically Adjusted PS Ratio=Share Price/ Cyclically Adjusted Revenue per Share
=117.61/19.12
=6.15

* 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.

Eaton's Cyclically Adjusted Revenue per Share for the quarter that ended in Dec. 2023 is calculated as:

For example, Eaton's adjusted Revenue per Share data for the three months ended in Dec. 2023 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=5.199/120.1096*120.1096
=5.199

Current CPI (Dec. 2023) = 120.1096.

Eaton Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201403 1.905 100.573 2.275
201406 1.925 100.773 2.294
201409 2.004 100.474 2.396
201412 2.222 99.576 2.680
201503 2.494 99.975 2.996
201506 2.545 100.573 3.039
201509 3.110 100.274 3.725
201512 3.028 99.676 3.649
201603 2.765 99.676 3.332
201606 2.710 101.072 3.220
201609 2.544 100.274 3.047
201612 2.578 99.676 3.106
201703 2.401 100.374 2.873
201706 2.693 100.673 3.213
201709 2.619 100.474 3.131
201712 2.769 100.075 3.323
201803 2.784 100.573 3.325
201806 3.380 101.072 4.017
201809 3.640 101.371 4.313
201812 3.502 100.773 4.174
201903 3.417 101.670 4.037
201906 3.602 102.168 4.235
201909 3.737 102.268 4.389
201912 3.694 102.068 4.347
202003 4.066 102.367 4.771
202006 3.561 101.769 4.203
202009 4.339 101.072 5.156
202012 4.292 101.072 5.100
202103 4.711 102.367 5.528
202106 4.666 103.364 5.422
202109 4.619 104.859 5.291
202112 4.819 106.653 5.427
202203 4.284 109.245 4.710
202206 4.690 112.734 4.997
202209 4.971 113.431 5.264
202212 5.037 115.425 5.241
202303 5.093 117.618 5.201
202306 5.075 119.611 5.096
202309 5.165 120.708 5.139
202312 5.199 120.110 5.199

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue 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.


Eaton  (BSP:E1TN34) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue 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 PS Ratio should give similar results to regular PS Ratio.


Eaton Cyclically Adjusted PS Ratio Related Terms

Thank you for viewing the detailed overview of Eaton's Cyclically Adjusted PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Eaton (BSP:E1TN34) Business Description

Traded in Other Exchanges
Address
30 Pembroke Road, Eaton House, Dublin, IRL, D04 Y0C2
Eaton is a diversified power management company operating for over 100 years. The company operates through various segments, including electrical Americas, electrical global, aerospace, vehicle, and eMobility. Eaton's portfolio can broadly be divided into two halves. One part of its portfolio is housed under its industrial sector umbrella, which serves a large variety of end markets like commercial vehicles, general aviation, and trucks. The other portion is Eaton's electrical sector portfolio, which serves data centers, utilities, and the residential end market, among others. While the company receives favorable tax treatment with its Ireland domicile, most of its operations are in the U.S.

Eaton (BSP:E1TN34) Headlines

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