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Dangote Cement (NSA:DCP) E10 : ₦20.95 (As of Dec. 2024)


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What is Dangote Cement 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.

Dangote Cement's adjusted earnings per share data for the three months ended in Dec. 2024 was ₦13.190. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is ₦20.95 for the trailing ten years ended in Dec. 2024.

During the past 12 months, Dangote Cement's average E10 Growth Rate was -100.00% 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.

As of today (2025-03-20), Dangote Cement's current stock price is ₦480.00. Dangote Cement's E10 for the quarter that ended in Dec. 2024 was ₦20.95. Dangote Cement's Shiller PE Ratio of today is 22.91.

During the past 13 years, the highest Shiller PE Ratio of Dangote Cement was 40.85. The lowest was 14.34. And the median was 17.72.


Dangote Cement E10 Historical Data

The historical data trend for Dangote Cement'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.

Dangote Cement E10 Chart

Dangote Cement Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
E10
Get a 7-Day Free Trial Premium Member Only Premium Member Only - 15.56 17.32 18.68 20.95

Dangote Cement Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
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 18.68 19.32 19.52 19.77 20.95

Competitive Comparison of Dangote Cement's E10

For the Building Materials subindustry, Dangote Cement'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.


Dangote Cement's Shiller PE Ratio Distribution in the Building Materials Industry

For the Building Materials industry and Basic Materials sector, Dangote Cement's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Dangote Cement's Shiller PE Ratio falls into.



Dangote Cement 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, Dangote Cement's adjusted earnings per share data for the three months ended in Dec. 2024 was:

Adj_EPS= Earnings per Share (Diluted) /CPI of Dec. 2024 (Change)*Current CPI (Dec. 2024)
=13.19/133.1571*133.1571
=13.190

Current CPI (Dec. 2024) = 133.1571.

Dangote Cement Quarterly Data

per share eps CPI Adj_EPS
201503 4.090 99.621 5.467
201506 3.140 100.684 4.153
201509 2.580 100.392 3.422
201512 1.060 99.792 1.414
201603 3.120 100.470 4.135
201606 3.110 101.688 4.072
201609 1.890 101.861 2.471
201612 0.650 101.863 0.850
201703 3.390 102.862 4.388
201706 3.020 103.349 3.891
201709 2.570 104.136 3.286
201712 2.640 104.011 3.380
201803 4.200 105.290 5.312
201806 2.400 106.317 3.006
201809 2.650 106.507 3.313
201812 13.580 105.998 17.060
201903 3.540 107.251 4.395
201906 3.470 108.070 4.276
201909 2.090 108.329 2.569
201912 2.690 108.420 3.304
202003 3.600 108.902 4.402
202006 3.850 108.767 4.713
202009 4.800 109.815 5.820
202012 3.890 109.897 4.713
202103 5.290 111.754 6.303
202106 5.920 114.631 6.877
202109 5.020 115.734 5.776
202112 5.010 117.630 5.671
202203 6.180 121.301 6.784
202206 3.920 125.017 4.175
202209 2.300 125.227 2.446
202212 9.860 125.222 10.485
202303 6.440 127.348 6.734
202306 3.950 128.729 4.086
202309 5.680 129.860 5.824
202312 10.390 129.419 10.690
202403 6.680 131.776 6.750
202406 4.570 132.554 4.591
202409 5.290 133.029 5.295
202412 13.190 133.157 13.190

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


Dangote Cement  (NSA:DCP) 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.

Dangote Cement's Shiller P/E Ratio of today is calculated as

Shiller PE Ratio=Share Price/E10
=480.00/20.95
=22.91

* 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 Dangote Cement was 40.85. The lowest was 14.34. And the median was 17.72.


Be Aware

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


Dangote Cement E10 Related Terms

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


Dangote Cement Business Description

Traded in Other Exchanges
N/A
Address
1, Alfred Rewane Road, P.O. Box 40032, Falomo, Ikoyi, Union Marble House, Lagos, NGA
Dangote Cement PLC is a Nigerian cement manufacturer. It manufactures and markets cement and related products through its 'Dangote' brand. The principal activity of the Company and its subsidiaries is to operate plants for the preparation, manufacture and distribution of cement and related products. The Company's production activities are undertaken at Obajana town in Kogi State, Gboko in Benue State and Ibese in Ogun State; all in Nigeria. Its geographical segment includes Nigeria and Pan Africa. The company derives a majority of revenue from Nigeria segment.