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Servotech Power Systems (NSE:EQSERVOTECH) E10 : ₹0.60 (As of Mar. 2024)


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What is Servotech Power Systems 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.

Servotech Power Systems's adjusted earnings per share data for the fiscal year that ended in Mar. 2024 was ₹0.540. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is ₹0.60 for the trailing ten years ended in Mar. 2024.

During the past 12 months, Servotech Power Systems's average E10 Growth Rate was 5.30% 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 (2024-06-23), Servotech Power Systems's current stock price is ₹ 88.65. Servotech Power Systems's E10 for the fiscal year that ended in Mar. 2024 was ₹0.60. Servotech Power Systems's Shiller PE Ratio of today is 147.75.

During the past 12 years, the highest Shiller PE Ratio of Servotech Power Systems was 155.58. The lowest was 12.42. And the median was 55.66.


Servotech Power Systems E10 Historical Data

The historical data trend for Servotech Power 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.

* Premium members only.

Servotech Power Systems E10 Chart

Servotech Power Systems Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
E10
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - 0.51 0.57 0.60

Servotech Power Systems Quarterly Data
Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Dec20 Mar21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 0.57 - - - 0.60

Competitive Comparison of Servotech Power Systems's E10

For the Electrical Equipment & Parts subindustry, Servotech Power 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.


Servotech Power Systems's Shiller PE Ratio Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Servotech Power Systems's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Servotech Power Systems's Shiller PE Ratio falls into.



Servotech Power Systems 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, Servotech Power Systems's adjusted earnings per share data for the fiscal year that ended in Mar. 2024 was:

Adj_EPS=Earnings per Share (Diluted) /CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=0.54/153.0345*153.0345
=0.540

Current CPI (Mar. 2024) = 153.0345.

Servotech Power Systems Annual Data

per_share_eps CPI Adj_EPS
201503 0.317 97.163 0.499
201603 0.458 102.518 0.684
201703 1.954 105.196 2.843
201803 0.216 109.786 0.301
201903 0.164 118.202 0.212
202003 0.044 124.705 0.054
202103 0.050 131.771 0.058
202203 0.205 138.822 0.226
202303 0.520 146.865 0.542
202403 0.540 153.035 0.540

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


Servotech Power Systems  (NSE:EQSERVOTECH) 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.

Servotech Power Systems's Shiller P/E Ratio of today is calculated as

Shiller PE Ratio=Share Price/E10
=88.65/0.6
=147.75

* 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 12 years, the highest Shiller P/E Ratio of Servotech Power Systems was 155.58. The lowest was 12.42. And the median was 55.66.


Be Aware

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


Servotech Power Systems E10 Related Terms

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


Servotech Power Systems (NSE:EQSERVOTECH) Business Description

Traded in Other Exchanges
N/A
Address
806, 8th Floor, Crown Heights, Sector 10, Rohini, Hotel Charted Accountants Crown Plaza, New Delhi, IND, 110085
Servotech Power Systems Ltd is an Indian company in the business line of manufacturing, trading and exporting LED, UPS, Solar Products & Flameproof LED Lights. The firm is engaged in the production, development, and marketing of both indoor and outdoor LED lighting products, solar products and Ultraviolet C products. The product portfolio of the company includes LED tube lights and bulbs, street lights, floodlights, canopy lights, yard lights, FLP tubes, hoarding lights, system controllers, UPS, solar charge controllers, solar rooftops, UV Disinfection Lamp, UV Disinfection Handheld, UV Disinfection Truck, Sterilization Box, UVC RoboTruk and UVLEN based on far UVC technology and others. Substantial revenue is derived from domestic sales.

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