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SK Telecom Co (BSP:S1KM34) E10 : R$4.82 (As of Dec. 2023)


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What is SK Telecom Co 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.

SK Telecom Co's adjusted earnings per share data for the three months ended in Dec. 2023 was R$12.035. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is R$4.82 for the trailing ten years ended in Dec. 2023.

During the past 12 months, SK Telecom Co's average E10 Growth Rate was -1.40% per year. During the past 3 years, the average E10 Growth Rate was 1.30% per year. During the past 5 years, the average E10 Growth Rate was 0.20% per year. During the past 10 years, the average E10 Growth Rate was 2.50% 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 SK Telecom Co was 34.80% per year. The lowest was -24.90% per year. And the median was 1.35% per year.

As of today (2024-04-30), SK Telecom Co's current stock price is R$26.40. SK Telecom Co's E10 for the quarter that ended in Dec. 2023 was R$4.82. SK Telecom Co's Shiller PE Ratio of today is 5.48.

During the past 13 years, the highest Shiller PE Ratio of SK Telecom Co was 8.73. The lowest was 4.32. And the median was 6.36.


SK Telecom Co E10 Historical Data

The historical data trend for SK Telecom Co'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.

SK Telecom Co E10 Chart

SK Telecom Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
E10
Get a 7-Day Free Trial Premium Member Only Premium Member Only - 8.99 5.92 5.54 4.82

SK Telecom Co Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 5.54 5.08 4.69 4.86 4.82

Competitive Comparison of SK Telecom Co's E10

For the Telecom Services subindustry, SK Telecom Co'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.


SK Telecom Co's Shiller PE Ratio Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, SK Telecom Co's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where SK Telecom Co's Shiller PE Ratio falls into.



SK Telecom Co 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, SK Telecom Co's adjusted earnings per share data for the three months ended in Dec. 2023 was:

Adj_EPS= Earnings per Share (Diluted) /CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=12.035/118.8477*118.8477
=12.035

Current CPI (Dec. 2023) = 118.8477.

SK Telecom Co Quarterly Data

per share eps CPI Adj_EPS
201403 10.883 99.253 13.032
201406 19.974 99.353 23.893
201409 22.275 99.608 26.578
201412 21.928 99.098 26.298
201503 23.297 99.720 27.766
201506 20.005 100.050 23.764
201509 22.847 100.110 27.123
201512 17.647 100.220 20.927
201603 33.387 100.560 39.459
201606 15.441 100.790 18.207
201609 17.799 101.460 20.849
201612 25.407 101.560 29.732
201703 30.315 102.850 35.030
201706 33.513 102.610 38.816
201709 41.096 103.490 47.195
201712 33.012 102.990 38.095
201803 39.729 104.100 45.357
201806 58.383 104.130 66.635
201809 12.295 105.650 13.831
201812 152.060 104.350 173.186
201903 23.359 104.490 26.569
201906 15.632 104.880 17.714
201909 17.113 105.200 19.333
201912 -2.011 105.120 -2.274
202003 22.020 105.540 24.797
202006 32.807 104.870 37.180
202009 31.367 106.200 35.103
202012 33.154 105.765 37.255
202103 31.071 107.357 34.397
202106 38.343 107.579 42.360
202109 39.466 108.759 43.127
202112 24.781 109.676 26.853
202203 15.522 111.806 16.500
202206 18.130 114.083 18.887
202209 15.907 114.831 16.463
202212 15.555 115.200 16.048
202303 20.962 116.550 21.375
202306 22.285 117.140 22.610
202309 19.914 119.111 19.870
202312 12.035 118.848 12.035

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


SK Telecom Co  (BSP:S1KM34) 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.

SK Telecom Co's Shiller P/E Ratio of today is calculated as

Shiller PE Ratio=Share Price/E10
=26.40/4.82
=5.48

* 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 SK Telecom Co was 8.73. The lowest was 4.32. And the median was 6.36.


Be Aware

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


SK Telecom Co E10 Related Terms

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


SK Telecom Co (BSP:S1KM34) Business Description

Traded in Other Exchanges
Address
SK T-Tower, 65, Eulji-ro, Jung-gu, Seoul, KOR, 04539
SK Telecom is South Korea's largest wireless telecom operator, with 30 million mobile customers. The firm also owns SK Broadband (formerly Hanaro Telecom), which has 6.9 million broadband customers and 9.5 million pay TV customers (6.8 million IPTV and 2.7 million Cable TV). While the firm also purchased stakes in businesses in security and semiconductor memory production as well as developing e-commerce and internet platform businesses, these were all spun off into the separate, SK Square business in November 2021. The company was formed after SK Group purchased KT's mobile business in 1994.

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