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GWLIF (Great-West Lifeco) E10 : $2.56 (As of Sep. 2024)


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What is Great-West Lifeco 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.

Great-West Lifeco's adjusted earnings per share data for the three months ended in Sep. 2024 was $0.679. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is $2.56 for the trailing ten years ended in Sep. 2024.

During the past 12 months, Great-West Lifeco's average E10 Growth Rate was 3.00% per year. During the past 3 years, the average E10 Growth Rate was 7.50% per year. During the past 5 years, the average E10 Growth Rate was 6.90% per year. During the past 10 years, the average E10 Growth Rate was 4.90% 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 Great-West Lifeco was 10.10% per year. The lowest was 2.00% per year. And the median was 5.70% per year.

As of today (2025-01-19), Great-West Lifeco's current stock price is $31.88. Great-West Lifeco's E10 for the quarter that ended in Sep. 2024 was $2.56. Great-West Lifeco's Shiller PE Ratio of today is 12.45.

During the past 13 years, the highest Shiller PE Ratio of Great-West Lifeco was 17.01. The lowest was 7.82. And the median was 13.21.


Great-West Lifeco E10 Historical Data

The historical data trend for Great-West Lifeco'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.

Great-West Lifeco E10 Chart

Great-West Lifeco 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 1.97 2.04 2.29 2.40 2.52

Great-West Lifeco 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 2.47 2.52 2.51 2.53 2.56

Competitive Comparison of Great-West Lifeco's E10

For the Insurance - Life subindustry, Great-West Lifeco'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.


Great-West Lifeco's Shiller PE Ratio Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, Great-West Lifeco's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Great-West Lifeco's Shiller PE Ratio falls into.



Great-West Lifeco 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, Great-West Lifeco'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)
=0.679/127.2847*127.2847
=0.679

Current CPI (Sep. 2024) = 127.2847.

Great-West Lifeco Quarterly Data

per share eps CPI Adj_EPS
201412 0.570 98.367 0.738
201503 0.555 99.789 0.708
201506 0.533 100.500 0.675
201509 0.544 100.421 0.690
201512 0.501 99.947 0.638
201603 0.471 101.054 0.593
201606 0.523 102.002 0.653
201609 0.520 101.765 0.650
201612 0.513 101.449 0.644
201703 0.446 102.634 0.553
201706 0.444 103.029 0.549
201709 0.478 103.345 0.589
201712 0.310 103.345 0.382
201803 0.571 105.004 0.692
201806 0.639 105.557 0.771
201809 0.535 105.636 0.645
201812 0.535 105.399 0.646
201903 0.497 106.979 0.591
201906 0.368 107.690 0.435
201909 0.593 107.611 0.701
201912 0.419 107.769 0.495
202003 0.264 107.927 0.311
202006 0.686 108.401 0.805
202009 0.673 108.164 0.792
202012 0.767 108.559 0.899
202103 0.605 110.298 0.698
202106 0.689 111.720 0.785
202109 0.739 112.905 0.833
202112 0.641 113.774 0.717
202203 1.130 117.646 1.223
202206 0.687 120.806 0.724
202209 0.795 120.648 0.839
202212 0.353 120.964 0.371
202303 0.468 122.702 0.485
202306 0.399 124.203 0.409
202309 0.717 125.230 0.729
202312 0.589 125.072 0.599
202403 0.761 126.258 0.767
202406 0.788 127.522 0.787
202409 0.679 127.285 0.679

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


Great-West Lifeco  (OTCPK:GWLIF) 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.

Great-West Lifeco's Shiller P/E Ratio of today is calculated as

Shiller PE Ratio=Share Price/E10
=31.88/2.56
=12.45

* 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 Great-West Lifeco was 17.01. The lowest was 7.82. And the median was 13.21.


Be Aware

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


Great-West Lifeco E10 Related Terms

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


Great-West Lifeco Business Description

Address
100 Osborne Street North, Winnipeg, MB, CAN, R3C 1V3
Great-West Lifeco provides life insurance, health insurance, retirement products, asset management, recordkeeping services, and reinsurance products in Canada, the United States, and Europe. The Canada business contributes approximately 31% of adjusted earnings and has leading market positions in group insurance, group retirement, and individual insurance. The company operates the second-largest recordkeeping business under the Empower brand in the United States, with an earnings contribution from the country approximating 26%. Great-West Lifeco also offers various products across Europe markets with a strong presence in the UK, Ireland, and Germany. The Europe segment contributed around 21% of adjusted earnings and the reinsurance business accounts for around 22% of adjusted earnings.