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QCOM (Qualcomm) E10 : $5.45 (As of Sep. 2024)


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What is Qualcomm 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.

Qualcomm's adjusted earnings per share data for the three months ended in Sep. 2024 was $2.590. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is $5.45 for the trailing ten years ended in Sep. 2024.

During the past 12 months, Qualcomm's average E10 Growth Rate was 8.10% per year. During the past 3 years, the average E10 Growth Rate was 13.70% per year. During the past 5 years, the average E10 Growth Rate was 15.70% per year. During the past 10 years, the average E10 Growth Rate was 7.70% 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 Qualcomm was 80.00% per year. The lowest was -3.10% per year. And the median was 18.10% per year.

As of today (2024-12-15), Qualcomm's current stock price is $158.53. Qualcomm's E10 for the quarter that ended in Sep. 2024 was $5.45. Qualcomm's Shiller PE Ratio of today is 29.09.

During the past 13 years, the highest Shiller PE Ratio of Qualcomm was 51.68. The lowest was 15.78. And the median was 26.00.


Qualcomm E10 Historical Data

The historical data trend for Qualcomm'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.

Qualcomm E10 Chart

Qualcomm Annual Data
Trend Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24
E10
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.05 3.71 4.73 5.04 5.45

Qualcomm Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 5.04 5.12 5.27 5.32 5.45

Competitive Comparison of Qualcomm's E10

For the Semiconductors subindustry, Qualcomm'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.


Qualcomm's Shiller PE Ratio Distribution in the Semiconductors Industry

For the Semiconductors industry and Technology sector, Qualcomm's Shiller PE Ratio distribution charts can be found below:

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



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

Adj_EPS= Earnings per Share (Diluted) /CPI of Sep. 2024 (Change)*Current CPI (Sep. 2024)
=2.59/133.0289*133.0289
=2.590

Current CPI (Sep. 2024) = 133.0289.

Qualcomm Quarterly Data

per share eps CPI Adj_EPS
201412 1.170 99.070 1.571
201503 0.630 99.621 0.841
201506 0.730 100.684 0.965
201509 0.670 100.392 0.888
201512 0.990 99.792 1.320
201603 0.780 100.470 1.033
201606 0.970 101.688 1.269
201609 1.070 101.861 1.397
201612 0.460 101.863 0.601
201703 0.500 102.862 0.647
201706 0.580 103.349 0.747
201709 0.110 104.136 0.141
201712 -4.050 104.011 -5.180
201803 0.220 105.290 0.278
201806 0.810 106.317 1.014
201809 -0.350 106.507 -0.437
201812 0.870 105.998 1.092
201903 0.550 107.251 0.682
201906 1.750 108.070 2.154
201909 0.420 108.329 0.516
201912 0.800 108.420 0.982
202003 0.410 108.902 0.501
202006 0.740 108.767 0.905
202009 2.580 109.815 3.125
202012 2.120 109.897 2.566
202103 1.530 111.754 1.821
202106 1.770 114.631 2.054
202109 2.450 115.734 2.816
202112 2.980 117.630 3.370
202203 2.570 121.301 2.818
202206 3.290 125.017 3.501
202209 2.530 125.227 2.688
202212 1.980 125.222 2.103
202303 1.520 127.348 1.588
202306 1.600 128.729 1.653
202309 1.320 129.860 1.352
202312 2.460 129.419 2.529
202403 2.060 131.776 2.080
202406 1.880 132.554 1.887
202409 2.590 133.029 2.590

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


Qualcomm  (NAS:QCOM) 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.

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

Shiller PE Ratio=Share Price/E10
=158.53/5.45
=29.09

* 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 Qualcomm was 51.68. The lowest was 15.78. And the median was 26.00.


Be Aware

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


Qualcomm E10 Related Terms

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


Qualcomm Business Description

Address
5775 Morehouse Drive, San Diego, CA, USA, 92121-1714
Qualcomm develops and licenses wireless technology and designs chips for smartphones. The company's key patents revolve around CDMA and OFDMA technologies, which are standards in wireless communications that are the backbone of all 3G, 4G, and 5G networks. Qualcomm's IP is licensed by virtually all wireless device makers. The firm is also the world's largest wireless chip vendor, supplying nearly every premier handset maker with leading-edge processors. Qualcomm also sells RF-front end modules into smartphones, as well as chips into automotive and Internet of Things markets.
Executives
Neil Martin officer: SVP, Finance and CAO 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
Akash J. Palkhiwala officer: SVP & Interim CFO 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
James H Thompson officer: EVP, Qualcomm Technologies Inc 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
Ann C Chaplin officer: General Counsel&Corp Secretary 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
Alexander H Rogers officer: EVP & President, QTL 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
Neil Smit director C/O AMERICA ONLINE LATIN AMERICA, INC., 6600 N. ANDREWS AVE., SUITE 400, FT. LAUDERDALE FL 33309
Cristiano R Amon officer: President 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
Sylvia Acevedo director 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
James J Cathey officer: Chief Commercial Officer 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
Jeffrey William Henderson director 7000 CARDINAL PLACE, DUBLIN OH 43017
Erin L Polek officer: SVP Corporate Controller & CAO 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
Donald J Rosenberg officer: EVP, GC & Corporate Secretary QUALCOMM INCORPORATED, 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
Brian Modoff officer: EVP, Strategy and M&A 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
Gregory N Johnson director C/O INTUIT INC., 2700 COAST AVENUE, MOUNTAIN VIEW CA 94043
Randt Clark T. Jr. director ONE VALMONT PLAZA, 13815 FIRST NATIONAL BANK PARKWAY, OMAHA NE 68154