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Texas Instruments (MEX:TXN) E10 : MXN125.32 (As of Sep. 2024)


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What is Texas Instruments 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.

Texas Instruments's adjusted earnings per share data for the three months ended in Sep. 2024 was MXN28.945. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is MXN125.32 for the trailing ten years ended in Sep. 2024.

During the past 12 months, Texas Instruments's average E10 Growth Rate was 6.30% per year. During the past 3 years, the average E10 Growth Rate was 19.30% per year. During the past 5 years, the average E10 Growth Rate was 17.40% per year. During the past 10 years, the average E10 Growth Rate was 12.90% 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 Texas Instruments was 35.00% per year. The lowest was 2.90% per year. And the median was 13.90% per year.

As of today (2024-12-12), Texas Instruments's current stock price is MXN3895.00. Texas Instruments's E10 for the quarter that ended in Sep. 2024 was MXN125.32. Texas Instruments's Shiller PE Ratio of today is 31.08.

During the past 13 years, the highest Shiller PE Ratio of Texas Instruments was 51.28. The lowest was 21.48. And the median was 33.84.


Texas Instruments E10 Historical Data

The historical data trend for Texas Instruments'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.

Texas Instruments E10 Chart

Texas Instruments 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 62.56 72.36 93.68 107.70 106.79

Texas Instruments 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 108.54 106.79 105.95 120.81 125.32

Competitive Comparison of Texas Instruments's E10

For the Semiconductors subindustry, Texas Instruments'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.


Texas Instruments's Shiller PE Ratio Distribution in the Semiconductors Industry

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

* The bar in red indicates where Texas Instruments's Shiller PE Ratio falls into.



Texas Instruments 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, Texas Instruments'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)
=28.945/133.0289*133.0289
=28.945

Current CPI (Sep. 2024) = 133.0289.

Texas Instruments Quarterly Data

per share eps CPI Adj_EPS
201412 11.210 99.070 15.053
201503 9.299 99.621 12.417
201506 10.199 100.684 13.475
201509 12.842 100.392 17.017
201512 13.756 99.792 18.338
201603 11.878 100.470 15.727
201606 14.610 101.688 19.113
201609 18.949 101.861 24.747
201612 21.029 101.863 27.463
201703 18.264 102.862 23.620
201706 18.618 103.349 23.965
201709 22.866 104.136 29.210
201712 6.677 104.011 8.540
201803 24.526 105.290 30.988
201806 27.509 106.317 34.421
201809 29.554 106.507 36.914
201812 24.936 105.998 31.295
201903 24.441 107.251 30.316
201906 26.124 108.070 32.158
201909 29.416 108.329 36.123
201912 21.123 108.420 25.917
202003 29.076 108.902 35.518
202006 34.162 108.767 41.782
202009 32.032 109.815 38.803
202012 35.806 109.897 43.343
202103 38.225 111.754 45.502
202106 40.807 114.631 47.356
202109 42.563 115.734 48.923
202112 46.567 117.630 52.663
202203 46.791 121.301 51.315
202206 49.289 125.017 52.448
202209 49.684 125.227 52.780
202212 41.526 125.222 44.115
202303 33.346 127.348 34.834
202306 32.059 128.729 33.130
202309 32.225 129.860 33.011
202312 25.292 129.419 25.997
202403 19.916 131.776 20.105
202406 22.351 132.554 22.431
202409 28.945 133.029 28.945

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


Texas Instruments  (MEX:TXN) 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.

Texas Instruments's Shiller P/E Ratio of today is calculated as

Shiller PE Ratio=Share Price/E10
=3895.00/125.32
=31.08

* 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 Texas Instruments was 51.28. The lowest was 21.48. And the median was 33.84.


Be Aware

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


Texas Instruments E10 Related Terms

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


Texas Instruments Business Description

Address
12500 TI Boulevard, Dallas, TX, USA, 75243
Dallas-based Texas Instruments generates over 95% of its revenue from semiconductors and the remainder from its well-known calculators. Texas Instruments is the world's largest maker of analog chips, which are used to process real-world signals such as sound and power. Texas Instruments also has a leading market share position in processors and microcontrollers used in a wide variety of electronics applications.