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TE Connectivity (NYSE:TEL) E10

: $6.00 (As of Dec. 2023)
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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.

TE Connectivity's adjusted earnings per share data for the three months ended in Dec. 2023 was $5.760. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is $6.00 for the trailing ten years ended in Dec. 2023.

During the past 12 months, TE Connectivity's average E10 Growth Rate was 15.60% per year. During the past 3 years, the average E10 Growth Rate was 10.70% per year. During the past 5 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 TE Connectivity was 26.90% per year. The lowest was 5.20% per year. And the median was 13.15% per year.

As of today (2024-04-12), TE Connectivity's current stock price is $146.71. TE Connectivity's E10 for the quarter that ended in Dec. 2023 was $6.00. TE Connectivity's Shiller PE Ratio of today is 24.45.

During the past 13 years, the highest Shiller PE Ratio of TE Connectivity was 52.59. The lowest was 12.71. And the median was 28.32.


TE Connectivity E10 Historical Data

The historical data trend for TE Connectivity'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.

TE Connectivity Annual Data
Trend Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23
E10
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4.41 4.07 4.51 5.14 5.52

TE Connectivity Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 5.19 5.34 5.44 5.52 6.00

Competitive Comparison

For the Electronic Components subindustry, TE Connectivity'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.


TE Connectivity Shiller PE Ratio Distribution

For the Hardware industry and Technology sector, TE Connectivity's Shiller PE Ratio distribution charts can be found below:

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



TE Connectivity 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, TE Connectivity'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)
=5.76/106.4611*106.4611
=5.760

Current CPI (Dec. 2023) = 106.4611.

TE Connectivity Quarterly Data

per share eps CPI Adj_EPS
201403 0.870 101.224 0.915
201406 0.970 101.517 1.017
201409 1.590 101.247 1.672
201412 1.140 100.704 1.205
201503 1.450 100.339 1.538
201506 0.750 100.464 0.795
201509 2.570 99.785 2.742
201512 0.910 99.386 0.975
201603 1.030 99.475 1.102
201606 2.320 100.088 2.468
201609 1.220 99.604 1.304
201612 1.140 99.380 1.221
201703 1.130 100.040 1.203
201706 1.220 100.285 1.295
201709 1.220 100.254 1.296
201712 -0.110 100.213 -0.117
201803 1.380 100.836 1.457
201806 1.290 101.435 1.354
201809 4.750 101.246 4.995
201812 0.800 100.906 0.844
201903 1.290 101.571 1.352
201906 2.230 102.044 2.327
201909 1.100 101.396 1.155
201912 0.080 101.063 0.084
202003 -1.370 101.048 -1.443
202006 -0.120 100.743 -0.127
202009 0.690 100.585 0.730
202012 1.140 100.241 1.211
202103 1.510 100.800 1.595
202106 1.740 101.352 1.828
202109 2.400 101.533 2.517
202112 1.720 101.776 1.799
202203 1.710 103.205 1.764
202206 1.830 104.783 1.859
202209 2.210 104.835 2.244
202212 1.240 104.666 1.261
202303 1.360 106.245 1.363
202306 1.670 106.576 1.668
202309 1.750 106.570 1.748
202312 5.760 106.461 5.760

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


TE Connectivity  (NYSE:TEL) 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.

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

Shiller PE Ratio=Share Price/E10
=146.71/6
=24.45

* 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 TE Connectivity was 52.59. The lowest was 12.71. And the median was 28.32.


Be Aware

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


TE Connectivity E10 Related Terms

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


TE Connectivity (NYSE:TEL) Business Description

Traded in Other Exchanges
N/A
Address
Muhlenstrasse 26, Schaffhausen, CHE, CH-8200
TE Connectivity is the largest electrical connector supplier in the world, supplying interconnect and sensor solutions to the transportation, industrial, and communications markets. With operations in 150 countries and over 500,000 stock-keeping units, TE has a broad portfolio that forms the electrical architecture of its end customers' cutting-edge innovations.
Executives
Terrence R Curtin director, officer: EVP & Chief Financial Officer C/O TYCO ELECTRONICS LTD., 1050 WESTLAKES DRIVE, BERWYN PA 19312
John S Jenkins officer: EVP & General Counsel 1050 WESTLAKES DRIVE, BERWYN PA 19312
Heath A Mitts officer: EVP & Chief Financial Officer 1925 WEST FIELD COURT, SUITE 200, LAKE FOREST IL 60045
Malavika Sagar officer: SVP, Chief Human Resources Off 1050 WESTLAKES DRIVE, BERWYN PA 19312
Jean-pierre Clamadieu director 1050 WESTLAKES DRIVE, BERWYN PA 19312
Shadrak W Kroeger officer: Pres., Communications Solution 1050 WESTLAKES DRIVE, BERWYN PA 19312
Abhijit Y Talwalkar director ONE AMD PLACE, PO BOX 3453, SUNNYVALE CA 94088
Tim Murphy officer: SVP & CHRO 1050 WESTLAKES DRIVE, BERWYN PA 19312
Thomas J Lynch director, officer: Chief Executive Officer 7 LAKEVIEW DRIVE, NEWTOWN PA 19840
Syaru Shirley Lin director
Robert J Ott officer: Sr VP & Controller C/O TYCO ELECTRONICS LTD, 1050 WESTLAKES DRIVE, BERWYN PA 19312
Steven T Merkt officer: President, Transportation Sol. 1050 WESTLAKES DRIVE, BERWYN PA 19312
Daniel J Phelan director C/O TYCO ELECTRONICS LTD., 1050 WESTLAKES DRIVE, BERWYN PA 19312
Aaron Kyle Stucki officer: Pres. Communications Solutions 1050 WESTLAKES DRIVE, BERWYN PA 19312
Eric Resch director, officer: SVP and Tax Officer C/O TYCO ELECTRONICS LTD., 1050 WESTLAKES DRIVE, BERWYN PA 19312