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.
BAE Systems's adjusted earnings per share data for the fiscal year that ended in Dec. 2025 was MXN16.391. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is MXN14.40 for the trailing ten years ended in Dec. 2025.
During the past 12 months, BAE Systems's average E10 Growth Rate was 10.00% per year.
During the past 3 years, the average E10 Growth Rate was 13.10% per year.
During the past 5 years, the average E10 Growth Rate was 12.70% per year.
During the past 10 years, the average E10 Growth Rate was 7.00% 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 BAE Systems was 35.70% per year. The lowest was -5.70% per year. And the median was 12.25% per year.
As of today (2026-06-24), BAE Systems's current stock price is MXN 443.66. BAE Systems's E10 for the fiscal year that ended in Dec. 2025 was MXN14.40. BAE Systems's Shiller PE Ratio of today is 30.81.
During the past 13 years, the highestShiller PE Ratio of BAE Systems was 41.95. The lowest was 12.81. And the median was 22.05.
BAE Systems (MEX:BA1N) 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.
BAE Systems's Shiller P/E Ratio of today is calculated as
* 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 BAE Systems was 41.95. The lowest was 12.81. And the median was 22.05.
Be Aware
Shiller PE Ratio works better for cyclical companies. It gives you a better idea on the company's real earnings power.
BAE Systems E10 Related Terms
BAE Systems E10 Historical Data
* Premium members only.
The historical data trend for BAE Systems'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.
For the Aerospace & Defense subindustry, BAE Systems'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.
BAE Systems Shiller PE Ratio vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, BAE Systems's Shiller PE Ratio distribution charts can be found below:
* The bar in red indicates where BAE Systems's Shiller PE Ratio falls into.
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, BAE Systems's adjusted earnings per share data for the fiscal year that ended in Dec. 2025 was:
BAE Systems (MEX:BA1N) has a E10 of MXN14.40 as of Dec. 2025. E10 represents the company's inflation-adjusted earnings per share over a 10-year period. View historical data on BAE Systems and its competitors.
Is BAE Systems' E10 too high?
BAE Systems' current E10 is MXN14.40. Overall, BAE Systems has a GF Score™ of 79/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does BAE Systems' E10 compare to GE and RTX?
BAE Systems' E10 of MXN14.40 can be compared against companies in the Aerospace & Defense industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good E10 for an Aerospace & Defense company?
A good E10 depends on the Aerospace & Defense industry context. However, E10 should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high E10 mean?
A high E10 can signal that a stock is expensive relative to its fundamentals. E10 represents the company's inflation-adjusted earnings per share over a 10-year period. View historical data on BAE Systems and its competitors. BAE Systems's current E10 is MXN14.40. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is BAE Systems stock overvalued right now?
Based on GuruFocus' analysis, BAE Systems (MEX:BA1N) is currently considered Fairly Valued. The stock's GF Value™ is MXN408.41, compared to a current price of MXN443.66 — trading 8.6% above its estimated fair value. The current E10 is MXN14.40. BAE Systems' overall GF Score™ is 79/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is E10 calculated?
E10 is calculated from a company's financial statements. For BAE Systems (MEX:BA1N), the current E10 is MXN14.40 as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is BAE Systems (MEX:BA1N) Overvalued in 2026?
Based on GuruFocus' analysis, BAE Systems stock appears to be overvalued.
The current stock price of MXN443.66 is trading 8.6% above its estimated GF Value™ of MXN408.41.
GuruFocus considers BAE Systems to be Fairly Valued.
Key valuation signals for MEX:BA1N:
E10: MXN14.40
GF Value™: MXN408.41 vs. price of MXN443.66 (8.6% above fair value)
No single metric tells the full story. See the MEX:BA1N stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
BAE Systems is a British global defense, security, and aerospace company and the largest defense contractor in Europe; it is one of six prime contractors to the US Department of Defense. For reporting purposes, the company has five operating segments: electronics systems is the group's US- and UK-based electronic warfare systems; the cyber, security, and intelligence segment supplies intelligence and security solutions to the US government; platforms and services manufactures combat vehicles and munitions and performs ship repair services to the US Defense Department; the air segment includes BAE's share of US and European air programs as well as its businesses in Saudi Arabia and Australia, and the maritime segment comprises UK land- and marine-based activities.
79GF Score
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