GURUFOCUS.COM » STOCK LIST » Energy » Oil & Gas » Archer Ltd (OSL:ARCH) » Definitions » E10

Archer (OSL:ARCH) E10 : kr-5.46 (As of Dec. 2023)


View and export this data going back to 2010. Start your Free Trial

What is Archer 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.

Archer's adjusted earnings per share data for the three months ended in Dec. 2023 was kr0.055. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is kr-5.46 for the trailing ten years ended in Dec. 2023.

During the past 3 years, the average E10 Growth Rate was 19.90% per year. During the past 5 years, the average E10 Growth Rate was 9.30% 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.

During the past 13 years, the highest 3-Year average E10 Growth Rate of Archer was 19.90% per year. The lowest was -3.40% per year. And the median was 8.00% per year.

As of today (2024-05-01), Archer's current stock price is kr1.046. Archer's E10 for the quarter that ended in Dec. 2023 was kr-5.46. Archer's Shiller PE Ratio of today is .


Archer E10 Historical Data

The historical data trend for Archer'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.

Archer E10 Chart

Archer 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 -10.21 -10.61 -10.19 -7.94 -5.46

Archer Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 -7.94 -7.88 -7.92 -7.77 -5.46

Competitive Comparison of Archer's E10

For the Oil & Gas Drilling subindustry, Archer'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.


Archer's Shiller PE Ratio Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Archer's Shiller PE Ratio distribution charts can be found below:

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



Archer 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, Archer's adjusted earnings per share data for the three months ended in Dec. 2023 was:

Adj_EPS= Earnings per Share (Diluted) /CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=0.055/131.9000*131.9000
=0.055

Current CPI (Dec. 2023) = 131.9000.

Archer Quarterly Data

per share eps CPI Adj_EPS
201403 -0.327 97.300 -0.443
201406 -0.450 97.500 -0.609
201409 0.543 98.500 0.727
201412 -4.344 98.600 -5.811
201503 -0.773 99.200 -1.028
201506 -2.393 100.100 -3.153
201509 -2.804 100.600 -3.676
201512 -13.617 100.900 -17.801
201603 -1.513 102.500 -1.947
201606 -2.487 103.800 -3.160
201609 -2.255 104.200 -2.854
201612 -3.031 104.400 -3.829
201703 -6.301 105.000 -7.915
201706 2.500 105.800 3.117
201709 -0.120 105.900 -0.149
201712 -0.639 106.100 -0.794
201803 0.089 107.300 0.109
201806 -0.156 108.500 -0.190
201809 0.158 109.500 0.190
201812 -1.291 109.800 -1.551
201903 0.033 110.400 0.039
201906 0.066 110.600 0.079
201909 -1.313 111.100 -1.559
201912 0.104 111.300 0.123
202003 -1.179 111.200 -1.398
202006 1.134 112.100 1.334
202009 -0.281 112.900 -0.328
202012 0.067 112.900 0.078
202103 0.131 114.600 0.151
202106 0.032 115.300 0.037
202109 -0.233 117.500 -0.262
202112 -0.310 118.900 -0.344
202203 0.305 119.800 0.336
202206 -1.267 122.600 -1.363
202209 -0.395 125.600 -0.415
202212 0.418 125.900 0.438
202303 -0.632 127.600 -0.653
202306 -0.108 130.400 -0.109
202309 -0.063 129.800 -0.064
202312 0.055 131.900 0.055

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


Archer  (OSL:ARCH) 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.


Be Aware

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


Archer E10 Related Terms

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


Archer (OSL:ARCH) Business Description

Traded in Other Exchanges
Address
Sandnesveien 358, Sandnes, NOR, 4312
Archer Ltd is an international oilfield service company providing various oilfield products and services through its area organizations. Its services include platform drilling, land drilling, directional drilling, underbalanced drilling, modular rigs, engineering services, equipment rentals, wireline services, pressure control, pressure pumping, production monitoring, well imaging and integrity management tools. The reporting segments of the company are Platform Operations, Well Services and Land Drilling. Majority of revenue is derived from Platform Operations segment. Platform Operations segment includes Platform Drilling, Modular rig, and Engineering services.