Switch to:
ONEOK Partners LP  (NYSE:OKS) E10: $2.45 (As of Mar. 2017)

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.

ONEOK Partners LP's adjusted earnings per share data for the three months ended in Mar. 2017 was $0.570. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is $2.45 for the trailing ten years ended in Mar. 2017.

As of today, ONEOK Partners LP's current stock price is $51.07. ONEOK Partners LP's E10 for the quarter that ended in Mar. 2017 was $2.45. ONEOK Partners LP's Shiller PE Ratio of today is 20.84.

During the past 13 years, the highest Shiller PE Ratio of ONEOK Partners LP was 32.46. The lowest was 9.40. And the median was 21.54.


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

* Premium members only.

ONEOK Partners LP Annual Data

Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16
E10 Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.06 2.46 2.51 2.43 2.43

ONEOK Partners LP Quarterly Data

Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17
E10 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 Premium Member Only Premium Member Only Premium Member Only 2.47 2.41 2.41 2.43 2.45

Competitive Comparison
* 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.


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.

For example, ONEOK Partners LP's adjusted earnings per share data for the three months ended in Mar. 2017 was:

Adj_EPS= Earnings per Share (Diluted) /CPI of Mar. 2017 (Change)*Current CPI (Mar. 2017)
=0.57/243.801*243.801
=0.570

Current CPI (Mar. 2017) = 243.801.

ONEOK Partners LP Quarterly Data

per share eps CPI Adj_EPS
200706 0.485 208.352 0.568
200709 0.490 208.490 0.573
200712 0.635 210.036 0.737
200803 0.740 213.528 0.845
200806 0.730 218.815 0.813
200809 0.985 218.783 1.098
200812 0.540 210.228 0.626
200903 0.425 212.709 0.487
200906 0.405 215.693 0.458
200909 0.500 215.969 0.564
200912 0.465 215.949 0.525
201003 0.285 217.631 0.319
201006 0.370 217.965 0.414
201009 0.540 218.439 0.603
201012 0.550 219.179 0.612
201103 0.580 223.467 0.633
201106 0.670 225.722 0.724
201109 0.840 226.889 0.903
201112 1.260 225.672 1.361
201203 0.910 229.392 0.967
201206 0.690 229.478 0.733
201209 0.780 231.407 0.822
201212 0.660 229.601 0.701
201303 0.420 232.773 0.440
201306 0.620 233.504 0.647
201309 0.640 234.149 0.666
201312 0.670 233.049 0.701
201403 0.810 236.293 0.836
201406 0.540 238.343 0.552
201409 0.320 238.031 0.328
201412 0.680 234.812 0.706
201503 0.210 236.119 0.217
201506 0.440 238.638 0.450
201509 0.450 237.945 0.461
201512 -0.370 236.525 -0.381
201603 0.520 238.132 0.532
201606 0.540 241.018 0.546
201609 0.590 241.428 0.596
201612 0.600 241.432 0.606
201703 0.570 243.801 0.570

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

ONEOK Partners LP's Shiller P/E Ratio of today is calculated as

Shiller PE Ratio=Share Price/E10
=51.07/2.45
=20.84

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

During the past 13 years, the highest Shiller P/E Ratio of ONEOK Partners LP was 32.46. The lowest was 9.40. And the median was 21.54.


Be Aware

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


Related Terms


Headlines

No Headline

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)

GF Chat

{{numOfNotice}}
FEEDBACK