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Prime Bank (DHA:PRIMEBANK) E10 : BDT2.91 (As of Sep. 2024)


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What is Prime Bank 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.

Prime Bank's adjusted earnings per share data for the three months ended in Sep. 2024 was BDT1.630. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is BDT2.91 for the trailing ten years ended in Sep. 2024.

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.

As of today (2025-04-12), Prime Bank's current stock price is BDT24.00. Prime Bank's E10 for the quarter that ended in Sep. 2024 was BDT2.91. Prime Bank's Shiller PE Ratio of today is 8.25.

During the past 11 years, the highest Shiller PE Ratio of Prime Bank was 8.45. The lowest was 6.45. And the median was 7.85.


Prime Bank E10 Historical Data

The historical data trend for Prime Bank'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.

Prime Bank E10 Chart

Prime Bank 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 - - - - -

Prime Bank Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 - - 2.80 2.87 2.91

Competitive Comparison of Prime Bank's E10

For the Banks - Regional subindustry, Prime Bank'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.


Prime Bank's Shiller PE Ratio Distribution in the Banks Industry

For the Banks industry and Financial Services sector, Prime Bank's Shiller PE Ratio distribution charts can be found below:

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


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Prime Bank 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, Prime Bank's adjusted earnings per share data for the three months ended in Sep. 2024 was:

Adj_EPS= Earnings per Share (Diluted) /CPI of Sep. 2024 (Change)*Current CPI (Sep. 2024)
=1.63/133.0289*133.0289
=1.630

Current CPI (Sep. 2024) = 133.0289.

Prime Bank Quarterly Data

per share eps CPI Adj_EPS
201312 1.418 98.326 1.918
201409 0.373 100.428 0.494
201412 0.709 99.070 0.952
201509 0.245 100.392 0.325
201512 -0.245 99.792 -0.327
201603 0.464 100.470 0.614
201606 -0.182 101.688 -0.238
201609 -0.073 101.861 -0.095
201612 1.725 101.863 2.253
201703 0.709 102.862 0.917
201706 0.070 103.349 0.090
201709 0.520 104.136 0.664
201712 -0.230 104.011 -0.294
201803 0.310 105.290 0.392
201806 0.400 106.317 0.501
201809 0.450 106.507 0.562
201812 0.860 105.998 1.079
201903 0.370 107.251 0.459
201906 0.530 108.070 0.652
201909 0.440 108.329 0.540
201912 -0.170 108.420 -0.209
202003 0.460 108.902 0.562
202006 0.090 108.767 0.110
202009 0.460 109.815 0.557
202012 0.600 109.897 0.726
202103 1.340 111.754 1.595
202106 0.470 114.631 0.545
202109 0.460 115.734 0.529
202112 0.600 117.630 0.679
202203 0.920 121.301 1.009
202206 0.670 125.017 0.713
202209 0.880 125.227 0.935
202212 1.059 125.222 1.125
202303 0.920 127.348 0.961
202306 1.010 128.729 1.044
202309 1.120 129.860 1.147
202312 1.190 129.419 1.223
202403 1.160 131.776 1.171
202406 1.580 132.554 1.586
202409 1.630 133.029 1.630

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


Prime Bank  (DHA:PRIMEBANK) 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.

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

Shiller PE Ratio=Share Price/E10
=24.00/2.91
=8.25

* 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 11 years, the highest Shiller P/E Ratio of Prime Bank was 8.45. The lowest was 6.45. And the median was 7.85.


Be Aware

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


Prime Bank E10 Related Terms

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


Prime Bank Business Description

Traded in Other Exchanges
N/A
Address
119~120 Motijheel C/A, Annex Building-2, Adamjee Court, Dhaka, BGD, 1000
Prime Bank PLC is a commercial bank based in Bangladesh. The Bank offers all kinds of Commercial, Corporate, and Personal Banking services covering all segments of society. The Bank also provides off-shore banking services through its 3 (Three) Off-shore Banking Units (OBU). Its segment consists of Corporate & Institutional Banking, Commercial Banking, MSME(Micro, Small & Medium Enterprise), and Consumer.

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