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Wipro (BOM:507685) E10 : ₹10.91 (As of Dec. 2024)


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What is Wipro E10?

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller P/E calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

Wipro's adjusted earnings per share data for the three months ended in Dec. 2024 was ₹3.200. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is ₹10.91 for the trailing ten years ended in Dec. 2024.

During the past 12 months, Wipro's average E10 Growth Rate was 4.60% per year. During the past 3 years, the average E10 Growth Rate was 7.10% per year. During the past 5 years, the average E10 Growth Rate was 7.70% per year. During the past 10 years, the average E10 Growth Rate was 8.00% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the E10 growth rate using E10 data.

During the past 13 years, the highest 3-Year average E10 Growth Rate of Wipro was 21.70% per year. The lowest was 6.70% per year. And the median was 8.30% per year.

As of today (2025-03-25), Wipro's current stock price is ₹271.10. Wipro's E10 for the quarter that ended in Dec. 2024 was ₹10.91. Wipro's Shiller PE Ratio of today is 24.85.

During the past 13 years, the highest Shiller PE Ratio of Wipro was 39.57. The lowest was 11.32. And the median was 18.95.


Wipro E10 Historical Data

The historical data trend for Wipro's E10 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.

Wipro E10 Chart

Wipro Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
E10
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.85 8.48 9.28 9.97 10.43

Wipro Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
E10 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 10.43 10.43 10.64 10.83 10.91

Competitive Comparison of Wipro's E10

For the Information Technology Services subindustry, Wipro'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.


Wipro's Shiller PE Ratio Distribution in the Software Industry

For the Software industry and Technology sector, Wipro's Shiller PE Ratio distribution charts can be found below:

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



Wipro E10 Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller P/E calculation. When we calculate the today's Shiller P/E ratio of a stock, we use today's price divided by E10.

What is E10? How do we calculate E10?

E10 is the average of the inflation adjusted earnings of a company over the past 10 years. Let's use an example to explain.

If we want to calculate the E10 of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the earnings from 2001 through 2010.

We adjusted the earnings of 2001 earnings data with the total inflation from 2001 through 2010 to the equivalent earnings in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart earned $1 a share in 2001, then the 2001's equivalent earnings in 2010 is $1.4 a share. If Wal-Mart earns $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 earnings in 2010 is $1.35. So on and so forth, you get the equivalent earnings of past 10 years. Then you add them together and divided the sum by 10 to get 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.

For example, Wipro's adjusted earnings per share data for the three months ended in Dec. 2024 was:

Adj_EPS= Earnings per Share (Diluted) /CPI of Dec. 2024 (Change)*Current CPI (Dec. 2024)
=3.2/158.3229*158.3229
=3.200

Current CPI (Dec. 2024) = 158.3229.

Wipro Quarterly Data

per share eps CPI Adj_EPS
201503 1.727 97.163 2.814
201506 1.671 99.841 2.650
201509 1.706 101.753 2.654
201512 1.703 102.901 2.620
201603 1.703 102.518 2.630
201606 1.560 105.961 2.331
201609 1.598 105.961 2.388
201612 1.631 105.196 2.455
201703 1.748 105.196 2.631
201706 1.605 107.109 2.372
201709 1.695 109.021 2.462
201712 1.511 109.404 2.187
201803 1.500 109.786 2.163
201806 1.765 111.317 2.510
201809 1.570 115.142 2.159
201812 2.085 115.142 2.867
201903 2.060 118.202 2.759
201906 1.980 120.880 2.593
201909 2.145 123.175 2.757
201912 2.150 126.235 2.697
202003 2.035 124.705 2.584
202006 2.095 127.000 2.612
202009 2.160 130.118 2.628
202012 2.585 130.889 3.127
202103 2.690 131.771 3.232
202106 2.950 134.084 3.483
202109 2.675 135.847 3.118
202112 2.710 138.161 3.105
202203 2.815 138.822 3.210
202206 2.335 142.347 2.597
202209 2.425 144.661 2.654
202212 2.780 145.763 3.020
202303 2.800 146.865 3.018
202306 2.560 150.280 2.697
202309 2.520 151.492 2.634
202312 2.580 152.924 2.671
202403 2.700 153.035 2.793
202406 2.865 155.789 2.912
202409 3.060 157.882 3.069
202412 3.200 158.323 3.200

Add all the adjusted EPS together and divide 10 will get our e10.


Wipro  (BOM:507685) E10 Explanation

If a company grows much fast than inflation, E10 may underestimate the company's earnings power. Shiller PE Ratio can seem to be too high even the actual P/E is low.

For the Shiller P/E, 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 P/E is also called PE10.

The Shiller P/E was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

Wipro's Shiller P/E Ratio of today is calculated as

Shiller PE Ratio=Share Price/E10
=271.10/10.91
=24.85

* 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.

During the past 13 years, the highest Shiller P/E Ratio of Wipro was 39.57. The lowest was 11.32. And the median was 18.95.


Be Aware

Shiller PE Ratio works better for cyclical companies. It gives you a better idea on the company's real earnings power.


Wipro E10 Related Terms

Thank you for viewing the detailed overview of Wipro's E10 provided by GuruFocus.com. Please click on the following links to see related term pages.


Wipro Business Description

Address
Sarjapur Road, Doddakannelli, Bangalore, KA, IND, 560035
Wipro is a leading global IT services provider, with over 234,000 employees. Based in Bengaluru, this India IT services firm leverages its offshore outsourcing model to derive a significant portion of its revenue from North America. The company offers traditional IT services offerings: consulting, managed services, and cloud infrastructure services as well as business process outsourcing as a service.

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