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Prime Commercial Bank (XNEP:PCBL) E10 : NPR20.04 (As of Apr. 2024)


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What is Prime Commercial Bank 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.

Prime Commercial Bank's adjusted earnings per share data for the three months ended in Apr. 2024 was NPR3.586. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is NPR20.04 for the trailing ten years ended in Apr. 2024.

During the past 12 months, Prime Commercial Bank's average E10 Growth Rate was 1.10% 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.

As of today (2024-12-15), Prime Commercial Bank's current stock price is NPR264.90. Prime Commercial Bank's E10 for the quarter that ended in Apr. 2024 was NPR20.04. Prime Commercial Bank's Shiller PE Ratio of today is 13.22.

During the past 13 years, the highest Shiller PE Ratio of Prime Commercial Bank was 17.97. The lowest was 9.30. And the median was 10.95.


Prime Commercial Bank E10 Historical Data

The historical data trend for Prime Commercial Bank'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.

Prime Commercial Bank E10 Chart

Prime Commercial Bank Annual Data
Trend Jul14 Jul15 Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23
E10
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - - 19.62 19.04

Prime Commercial Bank Quarterly Data
Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24
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 19.83 19.04 19.47 19.62 20.04

Competitive Comparison of Prime Commercial Bank's E10

For the Banks - Regional subindustry, Prime Commercial Bank'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.


Prime Commercial Bank's Shiller PE Ratio Distribution in the Banks Industry

For the Banks industry and Financial Services sector, Prime Commercial Bank's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Prime Commercial Bank's Shiller PE Ratio falls into.



Prime Commercial Bank 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, Prime Commercial Bank's adjusted earnings per share data for the three months ended in Apr. 2024 was:

Adj_EPS= Earnings per Share (Diluted) /CPI of Apr. 2024 (Change)*Current CPI (Apr. 2024)
=3.586/132.2892*132.2892
=3.586

Current CPI (Apr. 2024) = 132.2892.

Prime Commercial Bank Quarterly Data

per share eps CPI Adj_EPS
201407 2.074 100.520 2.729
201410 2.584 100.176 3.412
201501 3.204 98.604 4.299
201504 3.058 99.824 4.053
201507 2.581 100.691 3.391
201510 2.963 100.346 3.906
201601 3.340 99.957 4.420
201604 9.530 100.947 12.489
201607 4.624 101.524 6.025
201610 2.858 101.988 3.707
201701 3.514 102.456 4.537
201704 10.051 103.167 12.888
201707 3.976 103.278 5.093
201710 2.667 104.070 3.390
201801 2.616 104.578 3.309
201804 2.575 105.708 3.223
201807 3.653 106.324 4.545
201810 4.499 106.695 5.578
201901 3.194 106.200 3.979
201904 3.247 107.818 3.984
201907 4.340 108.250 5.304
201910 4.909 108.577 5.981
202001 4.274 108.841 5.195
202004 4.867 108.173 5.952
202007 1.138 109.318 1.377
202010 5.245 109.861 6.316
202101 4.101 110.364 4.916
202104 5.176 112.673 6.077
202107 2.321 115.183 2.666
202110 23.385 116.696 26.510
202201 3.611 118.619 4.027
202204 5.378 121.978 5.833
202207 0.337 125.002 0.357
202210 4.690 125.734 4.934
202301 4.009 126.223 4.202
202304 4.203 127.992 4.344
202307 -7.420 128.974 -7.611
202310 5.930 129.810 6.043
202401 5.316 130.124 5.404
202404 3.586 132.289 3.586

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


Prime Commercial Bank  (XNEP:PCBL) 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.

Prime Commercial Bank's Shiller P/E Ratio of today is calculated as

Shiller PE Ratio=Share Price/E10
=264.90/20.04
=13.22

* 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 Prime Commercial Bank was 17.97. The lowest was 9.30. And the median was 10.95.


Be Aware

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


Prime Commercial Bank E10 Related Terms

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


Prime Commercial Bank Business Description

Traded in Other Exchanges
N/A
Address
Kamalpokhari, Kathmandu, NPL
Prime Commercial Bank Ltd is a commercial bank in Nepal. The company's operating segment includes Banking Operation; Treasury; Card and Others. It generates maximum revenue from the Banking Operation segment. The company is engaged in providing personal banking, business banking, retail banking and other services including SMS banking, E-Banking services, and other remittance services.

Prime Commercial Bank Headlines

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