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Lupin (NSE:LUPIN) E10 : ₹30.59 (As of Mar. 2024)


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What is Lupin 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.

Lupin's adjusted earnings per share data for the three months ended in Mar. 2024 was ₹7.850. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is ₹30.59 for the trailing ten years ended in Mar. 2024.

During the past 12 months, Lupin's average E10 Growth Rate was -4.00% per year. During the past 3 years, the average E10 Growth Rate was -10.10% 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 Lupin was -10.10% per year. The lowest was -11.10% per year. And the median was -10.60% per year.

As of today (2024-05-21), Lupin's current stock price is ₹1651.75. Lupin's E10 for the quarter that ended in Mar. 2024 was ₹30.59. Lupin's Shiller PE Ratio of today is 54.00.

During the past 13 years, the highest Shiller PE Ratio of Lupin was 54.00. The lowest was 11.93. And the median was 22.61.


Lupin E10 Historical Data

The historical data trend for Lupin'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.

Lupin E10 Chart

Lupin 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 45.51 42.20 34.24 31.97 30.59

Lupin Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 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 31.97 32.16 31.97 31.86 30.59

Competitive Comparison of Lupin's E10

For the Drug Manufacturers - Specialty & Generic subindustry, Lupin'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.


Lupin's Shiller PE Ratio Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Lupin's Shiller PE Ratio distribution charts can be found below:

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



Lupin 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, Lupin's adjusted earnings per share data for the three months ended in Mar. 2024 was:

Adj_EPS= Earnings per Share (Diluted) /CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=7.85/153.0345*153.0345
=7.850

Current CPI (Mar. 2024) = 153.0345.

Lupin Quarterly Data

per share eps CPI Adj_EPS
201406 13.870 94.103 22.556
201409 13.970 96.780 22.090
201412 13.330 96.780 21.078
201503 12.070 97.163 19.011
201506 12.570 99.841 19.267
201509 9.270 101.753 13.942
201512 11.590 102.901 17.237
201603 16.520 102.518 24.660
201606 19.470 105.961 28.120
201609 14.620 105.961 21.115
201612 13.980 105.196 20.337
201703 8.390 105.196 12.205
201706 7.890 107.109 11.273
201709 10.040 109.021 14.093
201712 4.890 109.404 6.840
201803 -17.330 109.786 -24.157
201806 4.480 111.317 6.159
201809 5.860 115.142 7.788
201812 -3.360 115.142 -4.466
201903 6.380 118.202 8.260
201906 6.670 120.880 8.444
201909 -2.810 123.175 -3.491
201912 -18.450 126.235 -22.367
202003 8.610 124.705 10.566
202006 2.350 127.000 2.832
202009 4.640 130.118 5.457
202012 9.630 130.889 11.259
202103 10.110 131.771 11.741
202106 11.910 134.084 13.593
202109 -46.220 135.847 -52.068
202112 11.980 138.161 13.270
202203 -11.400 138.822 -12.567
202206 -1.960 142.347 -2.107
202209 2.850 144.661 3.015
202212 3.360 145.763 3.528
202303 5.160 146.865 5.377
202306 9.900 150.280 10.081
202309 10.720 151.492 10.829
202312 13.410 152.924 13.420
202403 7.850 153.035 7.850

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


Lupin  (NSE:LUPIN) 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.

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

Shiller PE Ratio=Share Price/E10
=1651.75/30.59
=54.00

* 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 Lupin was 54.00. The lowest was 11.93. And the median was 22.61.


Be Aware

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


Lupin E10 Related Terms

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


Lupin (NSE:LUPIN) Business Description

Traded in Other Exchanges
Address
Off. Western Express Highway, 3rd floor, Kalpataru Inspire, Santacruz (East), Mumbai, MH, IND, 400 055
Lupin Ltd is a specialty and generic drug manufacturing company. The company's global formulations business develops and delivers a wide range of branded and generic formulations across the globe. The operations of the company are limited to one segment, namely pharmaceuticals and related products. The company also maintains a pipeline in high-barrier markets such as Inhalation, Biosimilars and Complex Injectables. The vast majority of the company's sales are generated in the United States, followed by India.

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