Challenger (FRA:GK9) Cyclically Adjusted PS Ratio: (As of Sep. 21, 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

FRA:GK9 Challenger Ltd FRA:GK9
59 GF Score
Price €6.20
GF Value €3.41
! 8 Warning Signs
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What is Challenger Cyclically Adjusted PS Ratio?

Shiller PE for Stocks: The True Measure of Stock Valuation


Challenger  (FRA:GK9) 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.


Challenger Cyclically Adjusted PS Ratio Related Terms


Challenger Cyclically Adjusted PS Ratio Historical Data

* Premium members only.

The historical data trend for Challenger'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.

Challenger Cyclically Adjusted PS Ratio Chart

Challenger Annual Data
Trend Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25 Jun26
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.05 1.75 1.79 1.90 2.57

Challenger Semi-Annual Data
Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25 Jun26
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 1.61 1.38 1.75 2.07 2.40

FRA:GK9 vs MET, AFL, PRU: Cyclically Adjusted PS Ratio Comparison

For the Insurance - Life subindustry, Challenger'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.


Challenger Cyclically Adjusted PS Ratio vs Insurance Industry

For the Insurance industry and Financial Services sector, Challenger's Cyclically Adjusted PS Ratio distribution charts can be found below:

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


FRA:GK9
59GF Score
Challenger Ltd FRA:GK9
Cyclically Adjusted PS Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
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Challenger 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.

Challenger's Cyclically Adjusted Revenue per Share for the fiscal year that ended in Jun26 is calculated as:

For example, Challenger's adjusted Revenue per Share data for the fiscal year that ended in Jun26 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Jun26 (Change)*Current CPI (Jun26)
=1.573/136.4868*136.4868
=1.573

Current CPI (Jun26) = 136.4868.

Challenger Annual Data

Revenue per Share CPI Adj_RevenuePerShare
201706 3.139 0.000
201806 2.509 0.000
201906 1.800 0.000
202006 1.509 0.000
202106 2.067 0.000
202206 -0.306 0.000
202306 2.078 0.000
202406 2.551 0.000
202506 2.588 131.551 2.685
202606 1.573 136.487 1.573

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.

Is Challenger (FRA:GK9) Overvalued in 2026?

Based on GuruFocus' analysis, Challenger stock appears to be overvalued. The current stock price of €6.20 is trading 81.8% above its estimated GF Value™ of €3.41.

Key valuation signals for FRA:GK9:

  • Cyclically Adjusted PS Ratio:
  • GF Value™: €3.41 vs. price of €6.20 (81.8% above fair value)
  • GF Score™: 59/100 with 8 warning signs

No single metric tells the full story. See the FRA:GK9 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Challenger Business Description

Address 5 Martin Place, Level 2, Sydney, NSW, AUS, 2000
Challenger's core business is selling annuity products in the Australian retirement market and, since November 2016, selling Australian dollar-denominated annuities into Japan's large retirement market. The firm's annuity products provide investors guaranteed regular payments over an agreed term for an upfront lump sum investment and is designed primarily to protect investors from the longevity risk of outliving their savings. Challenger also operates a funds management business, Fidante Partners, which has minority stakes in several boutique global investment managers, and Challenger Investment Management, which primarily manages investments supporting its annuities business.
59GF Score

Get the complete analysis for FRA:GK9

Cyclically Adjusted PS Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€6.20
Price
€3.41
GF Value