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Analog Devices (LTS:0HFN) E10 : $4.34 (As of Oct. 2024)


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What is Analog Devices 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.

Analog Devices's adjusted earnings per share data for the three months ended in Oct. 2024 was $0.960. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is $4.34 for the trailing ten years ended in Oct. 2024.

During the past 12 months, Analog Devices's average E10 Growth Rate was 4.30% per year. During the past 3 years, the average E10 Growth Rate was 11.20% per year. During the past 5 years, the average E10 Growth Rate was 9.80% per year. During the past 10 years, the average E10 Growth Rate was 8.00% 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 Analog Devices was 31.60% per year. The lowest was 4.40% per year. And the median was 11.60% per year.

As of today (2024-12-11), Analog Devices's current stock price is $214.72. Analog Devices's E10 for the quarter that ended in Oct. 2024 was $4.34. Analog Devices's Shiller PE Ratio of today is 49.47.

During the past 13 years, the highest Shiller PE Ratio of Analog Devices was 59.94. The lowest was 22.98. And the median was 40.40.


Analog Devices E10 Historical Data

The historical data trend for Analog Devices'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.

Analog Devices E10 Chart

Analog Devices Annual Data
Trend Oct15 Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23 Oct24
E10
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.89 3.14 3.64 4.15 4.34

Analog Devices Quarterly Data
Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24
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 4.15 4.22 4.27 4.19 4.34

Competitive Comparison of Analog Devices's E10

For the Semiconductors subindustry, Analog Devices'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.


Analog Devices's Shiller PE Ratio Distribution in the Semiconductors Industry

For the Semiconductors industry and Technology sector, Analog Devices's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Analog Devices's Shiller PE Ratio falls into.



Analog Devices 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, Analog Devices's adjusted earnings per share data for the three months ended in Oct. 2024 was:

Adj_EPS= Earnings per Share (Diluted) /CPI of Oct. 2024 (Change)*Current CPI (Oct. 2024)
=0.96/133.1820*133.1820
=0.960

Current CPI (Oct. 2024) = 133.1820.

Analog Devices Quarterly Data

per share eps CPI Adj_EPS
201501 0.570 98.604 0.770
201504 0.650 99.824 0.867
201507 0.680 100.691 0.899
201510 0.310 100.346 0.411
201601 0.520 99.957 0.693
201604 0.550 100.947 0.726
201607 0.740 101.524 0.971
201610 0.950 101.988 1.241
201701 0.690 102.456 0.897
201704 0.270 103.167 0.349
201707 0.180 103.278 0.232
201710 1.190 104.070 1.523
201801 0.780 104.578 0.993
201804 1.060 105.708 1.335
201807 1.080 106.324 1.353
201810 1.070 106.695 1.336
201901 0.950 106.200 1.191
201904 0.980 107.818 1.211
201907 0.970 108.250 1.193
201910 0.740 108.577 0.908
202001 0.550 108.841 0.673
202004 0.720 108.173 0.886
202007 0.970 109.318 1.182
202010 1.040 109.861 1.261
202101 1.040 110.364 1.255
202104 1.140 112.673 1.348
202107 1.350 115.183 1.561
202110 0.160 116.696 0.183
202201 0.530 118.619 0.595
202204 1.490 121.978 1.627
202207 1.440 125.002 1.534
202210 1.820 125.734 1.928
202301 1.880 126.223 1.984
202304 1.920 127.992 1.998
202307 1.740 128.974 1.797
202310 1.000 129.810 1.026
202401 0.930 130.124 0.952
202404 0.610 132.289 0.614
202407 0.790 132.708 0.793
202410 0.960 133.182 0.960

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


Analog Devices  (LTS:0HFN) 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.

Analog Devices's Shiller P/E Ratio of today is calculated as

Shiller PE Ratio=Share Price/E10
=214.72/4.34
=49.47

* 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 Analog Devices was 59.94. The lowest was 22.98. And the median was 40.40.


Be Aware

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


Analog Devices E10 Related Terms

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


Analog Devices Business Description

Address
One Analog Way, Wilmington, MA, USA, 01887
Analog Devices is a leading analog, mixed signal, and digital signal processing chipmaker. The firm has a significant market share lead in converter chips, which are used to translate analog signals to digital and vice versa. The company serves tens of thousands of customers, and more than half of its chip sales are made to industrial and automotive end markets. Analog Devices' chips are also incorporated into wireless infrastructure equipment.

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