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Icon PLC  (NAS:ICLR) E10: $2.37 (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.

Icon PLC's adjusted earnings per share data for the three months ended in Jun. 2017 was $1.190. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is $2.37 for the trailing ten years ended in Jun. 2017.

As of today, Icon PLC's current stock price is $113.63. Icon PLC's E10 for the quarter that ended in Jun. 2017 was $2.37. Icon PLC's Shiller PE Ratio of today is 47.95.

During the past 13 years, the highest Shiller PE Ratio of Icon PLC was 48.99. The lowest was 9.95. And the median was 24.77.


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.

Icon PLC Annual Data

Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16
E10 Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.49 1.46 1.53 1.82 2.19

Icon PLC 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 2.01 2.10 2.19 2.29 2.37

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, Icon PLC'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)
=1.19/244.955*244.955
=1.190

Current CPI (Jun. 2017) = 244.955.

Icon PLC Quarterly Data

per share eps CPI Adj_EPS
200709 0.490 208.490 0.576
200712 0.530 210.036 0.618
200803 0.560 213.528 0.642
200806 0.310 218.815 0.347
200809 0.350 218.783 0.392
200812 0.360 210.228 0.419
200903 0.350 212.709 0.403
200906 0.310 215.693 0.352
200909 0.400 215.969 0.454
200912 0.510 215.949 0.579
201003 0.370 217.631 0.416
201006 0.380 217.965 0.427
201009 0.330 218.439 0.370
201012 0.370 219.179 0.414
201103 0.140 223.467 0.153
201106 0.210 225.722 0.228
201109 -0.040 226.889 -0.043
201112 0.060 225.672 0.065
201203 0.150 229.392 0.160
201206 0.130 229.478 0.139
201209 0.290 231.407 0.307
201212 0.340 229.601 0.363
201303 0.310 232.773 0.326
201306 0.360 233.504 0.378
201309 0.450 234.149 0.471
201312 0.530 233.049 0.557
201403 0.570 236.293 0.591
201406 0.640 238.343 0.658
201409 0.790 238.031 0.813
201412 0.720 234.812 0.751
201503 0.900 236.119 0.934
201506 0.950 238.638 0.975
201509 1.020 237.945 1.050
201512 1.120 236.525 1.160
201603 1.120 238.132 1.152
201606 1.080 241.018 1.098
201609 1.130 241.428 1.147
201612 1.320 241.432 1.339
201703 1.290 243.801 1.296
201706 1.190 244.955 1.190

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.

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

Shiller PE Ratio=Share Price/E10
=113.63/2.37
=47.95

* 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 Icon PLC was 48.99. The lowest was 9.95. And the median was 24.77.


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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