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CSS Industries Inc  (NYSE:CSS) E10: $1.49 (As of Jun. 2017)

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.

CSS Industries Inc's adjusted earnings per share data for the three months ended in Jun. 2017 was $-0.780. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is $1.49 for the trailing ten years ended in Jun. 2017.

As of today, CSS Industries Inc's current stock price is $29.76. CSS Industries Inc's E10 for the quarter that ended in Jun. 2017 was $1.49. CSS Industries Inc's Shiller PE Ratio of today is 19.97.

During the past 13 years, the highest Shiller PE Ratio of CSS Industries Inc was 22.94. The lowest was 5.43. And the median was 15.46.


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

* Premium members only.

CSS Industries Inc Annual Data

Mar08 Mar09 Mar10 Mar11 Mar12 Mar13 Mar14 Mar15 Mar16 Mar17
E10 Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.64 1.57 1.45 1.42 1.50

CSS Industries Inc Quarterly Data

Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17
E10 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 Premium Member Only Premium Member Only Premium Member Only 1.46 1.41 1.48 1.50 1.49

Competitive Comparison
* 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.


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.

For example, CSS Industries Inc's adjusted earnings per share data for the three months ended in Jun. 2017 was:

Adj_EPS= Earnings per Share (Diluted) /CPI of Jun. 2017 (Change)*Current CPI (Jun. 2017)
=-0.78/244.955*244.955
=-0.780

Current CPI (Jun. 2017) = 244.955.

CSS Industries Inc Quarterly Data

per share eps CPI Adj_EPS
200709 1.220 208.490 1.433
200712 2.070 210.036 2.414
200803 -0.590 213.528 -0.677
200806 -0.440 218.815 -0.493
200809 1.030 218.783 1.153
200812 1.680 210.228 1.958
200903 -0.530 212.709 -0.610
200906 -0.470 215.693 -0.534
200909 0.920 215.969 1.043
200912 1.310 215.949 1.486
201003 -4.240 217.631 -4.772
201006 -0.590 217.965 -0.663
201009 0.870 218.439 0.976
201012 1.320 219.179 1.475
201103 -1.030 223.467 -1.129
201106 -0.780 225.722 -0.846
201109 1.590 226.889 1.717
201112 1.130 225.672 1.227
201203 -0.330 229.392 -0.352
201206 -0.090 229.478 -0.096
201209 0.720 231.407 0.762
201212 1.220 229.601 1.302
201303 -0.250 232.773 -0.263
201306 -0.180 233.504 -0.189
201309 1.160 234.149 1.214
201312 1.180 233.049 1.240
201403 -0.150 236.293 -0.155
201406 -0.140 238.343 -0.144
201409 1.050 238.031 1.081
201412 1.040 234.812 1.085
201503 -0.150 236.119 -0.156
201506 -0.330 238.638 -0.339
201509 1.220 237.945 1.256
201512 1.060 236.525 1.098
201603 -0.060 238.132 -0.062
201606 -0.360 241.018 -0.366
201609 0.770 241.428 0.781
201612 3.290 241.432 3.338
201703 -0.570 243.801 -0.573
201706 -0.780 244.955 -0.780

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

CSS Industries Inc's Shiller P/E Ratio of today is calculated as

Shiller PE Ratio=Share Price/E10
=29.76/1.49
=19.97

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

During the past 13 years, the highest Shiller P/E Ratio of CSS Industries Inc was 22.94. The lowest was 5.43. And the median was 15.46.


Be Aware

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


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