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Virinchi (BOM:532372) E10 : ₹4.99 (As of Mar. 2024)


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What is Virinchi 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.

Virinchi's adjusted earnings per share data for the three months ended in Mar. 2024 was ₹0.200. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is ₹4.99 for the trailing ten years ended in Mar. 2024.

During the past 12 months, Virinchi's average E10 Growth Rate was 3.50% per year. During the past 3 years, the average E10 Growth Rate was -1.60% 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 Virinchi was -1.60% per year. The lowest was -1.60% per year. And the median was -1.60% per year.

As of today (2024-06-20), Virinchi's current stock price is ₹35.65. Virinchi's E10 for the quarter that ended in Mar. 2024 was ₹4.99. Virinchi's Shiller PE Ratio of today is 7.14.

During the past 13 years, the highest Shiller PE Ratio of Virinchi was 20.72. The lowest was 2.47. And the median was 7.12.


Virinchi E10 Historical Data

The historical data trend for Virinchi'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.

Virinchi E10 Chart

Virinchi 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 - 5.23 4.58 4.82 4.99

Virinchi Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 4.82 4.92 4.91 5.04 4.99

Competitive Comparison of Virinchi's E10

For the Software - Application subindustry, Virinchi'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.


Virinchi's Shiller PE Ratio Distribution in the Software Industry

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

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



Virinchi 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, Virinchi's adjusted earnings per share data for the three months ended in Mar. 2024 was:

Adj_EPS= Earnings per Share (Diluted) /CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=0.2/153.0345*153.0345
=0.200

Current CPI (Mar. 2024) = 153.0345.

Virinchi Quarterly Data

per share eps CPI Adj_EPS
201406 0.660 94.103 1.073
201409 0.790 96.780 1.249
201412 0.168 96.780 0.266
201503 0.685 97.163 1.079
201506 0.400 99.841 0.613
201509 0.985 101.753 1.481
201512 0.675 102.901 1.004
201603 2.445 102.518 3.650
201606 1.130 105.961 1.632
201609 1.135 105.961 1.639
201612 1.350 105.196 1.964
201703 0.010 105.196 0.015
201706 1.315 107.109 1.879
201709 1.515 109.021 2.127
201712 1.575 109.404 2.203
201803 0.830 109.786 1.157
201806 1.520 111.317 2.090
201809 2.450 115.142 3.256
201812 2.340 115.142 3.110
201903 2.470 118.202 3.198
201906 1.680 120.880 2.127
201909 1.785 123.175 2.218
201912 1.935 126.235 2.346
202003 1.625 124.705 1.994
202006 0.435 127.000 0.524
202009 0.095 130.118 0.112
202012 0.135 130.889 0.158
202103 -0.245 131.771 -0.285
202106 0.660 134.084 0.753
202109 0.030 135.847 0.034
202112 1.580 138.161 1.750
202203 0.333 138.822 0.367
202206 -0.220 142.347 -0.237
202209 -0.430 144.661 -0.455
202212 0.730 145.763 0.766
202303 1.470 146.865 1.532
202306 0.510 150.280 0.519
202309 0.140 151.492 0.141
202312 0.600 152.924 0.600
202403 0.200 153.035 0.200

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


Virinchi  (BOM:532372) 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.

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

Shiller PE Ratio=Share Price/E10
=35.65/4.99
=7.14

* 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 Virinchi was 20.72. The lowest was 2.47. And the median was 7.12.


Be Aware

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


Virinchi E10 Related Terms

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


Virinchi (BOM:532372) Business Description

Traded in Other Exchanges
Address
Road Number 1, 8-2-672 / 5 & 6, 4th Floor, IIyas Mohammed Khan Estate, Banjara Hills, Hyderabad, TG, IND, 500034
Virinchi Ltd is an Indian information technology (IT) products and services company engaged in software development and research. The firm's segments include the development of Computer Software and Services and IT Enabled Services. The company's products and solutions include QFund, vCard, V23, KSoft, Virinchi Hospitals chain, and Bristlecone Hospitals. The company generates key revenue from Healthcare Services and North America.

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