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Ekennis Software Service (BOM:543475) PE Ratio : 76.47 (As of May. 11, 2024)


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What is Ekennis Software Service PE Ratio?

The PE Ratio, or Price-to-Earnings ratio, or P/E Ratio, is a financial ratio used to compare a company's market price to its Earnings per Share (Diluted). As of today (2024-05-11), Ekennis Software Service's share price is ₹130.00. Ekennis Software Service's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Sep. 2023 was ₹1.70. Therefore, Ekennis Software Service's PE Ratio for today is 76.47.

Warning Sign:

Ekennis Software Service Ltd stock PE Ratio (=26.22) is close to 3-year high of 28.65

During the past 4 years, Ekennis Software Service's highest PE Ratio was 85.59. The lowest was 7.57. And the median was 15.80.

Ekennis Software Service's EPS (Diluted) for the six months ended in Sep. 2023 was ₹1.63. Its EPS (Diluted) for the trailing twelve months (TTM) ended in Sep. 2023 was ₹1.70.

As of today (2024-05-11), Ekennis Software Service's share price is ₹130.00. Ekennis Software Service's EPS without NRI for the trailing twelve months (TTM) ended in Sep. 2023 was ₹1.70. Therefore, Ekennis Software Service's PE Ratio without NRI ratio for today is 76.65.

During the past 4 years, Ekennis Software Service's highest PE Ratio without NRI was 85.79. The lowest was 7.64. And the median was 15.93.

Ekennis Software Service's EPS without NRI for the six months ended in Sep. 2023 was ₹1.63. Its EPS without NRI for the trailing twelve months (TTM) ended in Sep. 2023 was ₹1.70.

During the past 12 months, Ekennis Software Service's average EPS without NRI Growth Rate was -85.60% per year. During the past 3 years, the average EPS without NRI Growth Rate was 50.60% per year.

During the past 4 years, Ekennis Software Service's highest 3-Year average EPS without NRI Growth Rate was 50.60% per year. The lowest was 50.60% per year. And the median was 50.60% per year.

Ekennis Software Service's EPS (Basic) for the six months ended in Sep. 2023 was ₹1.63. Its EPS (Basic) for the trailing twelve months (TTM) ended in Sep. 2023 was ₹1.70.

Back to Basics: PE Ratio


Ekennis Software Service PE Ratio Historical Data

The historical data trend for Ekennis Software Service's PE Ratio 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.

Ekennis Software Service PE Ratio Chart

Ekennis Software Service Annual Data
Trend Mar20 Mar21 Mar22 Mar23
PE Ratio
N/A N/A 9.82 19.64

Ekennis Software Service Semi-Annual Data
Mar20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23
PE Ratio Get a 7-Day Free Trial At Loss 9.82 At Loss 19.64 At Loss

Competitive Comparison of Ekennis Software Service's PE Ratio

For the Information Technology Services subindustry, Ekennis Software Service's PE Ratio, along with its competitors' market caps and 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.


Ekennis Software Service's PE Ratio Distribution in the Software Industry

For the Software industry and Technology sector, Ekennis Software Service's PE Ratio distribution charts can be found below:

* The bar in red indicates where Ekennis Software Service's PE Ratio falls into.



Ekennis Software Service PE Ratio Calculation

The PE Ratio, or Price-to-Earnings ratio, or P/E Ratio, is a financial ratio used to compare a company's market price to its Earnings per Share (Diluted). It is the most widely used ratio in the valuation of stocks.

Ekennis Software Service's PE Ratio for today is calculated as

PE Ratio=Share Price/Earnings per Share (Diluted) (TTM)
=130.00/1.700
=76.47

Ekennis Software Service's Share Price of today is ₹130.00.
For company reported semi-annually, Ekennis Software Service's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Sep. 2023 adds up the semi-annually data reported by the company within the most recent 12 months, which was ₹1.70.


* 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.

It can also be calculated from the numbers for the whole company:


There are at least three kinds of PE Ratios used by different investors. They are Trailing Twelve Month PE Ratio, Forward PE Ratio, or PE Ratio without NRI. A new PE Ratio based on inflation-adjusted normalized PE Ratio is called Shiller PE Ratio, after Yale professor Robert Shiller.

In the calculation of PE Ratio, the earnings per share used are the earnings per share over the past 12 months. For Forward PE Ratio, the earnings are the expected earnings for the next twelve months. In the case of PE Ratio without NRI, the reported earnings less the non-recurring items are used.

For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. Since it looks at the average over the last 10 years, Shiller PE Ratio is also called PE10.


Ekennis Software Service  (BOM:543475) PE Ratio Explanation

The PE Ratio can be viewed as the number of years it takes for the company to earn back the price you pay for the stock. For example, if a company earns $2 a share per year, and the stock is traded at $30, the PE Ratio is 15. Therefore it takes 15 years for the company to earn back the $30 you paid for its stock, assuming the earnings stays constant over the next 15 years.

In real business, earnings never stay constant. If a company can grow its earnings, it takes fewer years for the company to earn back the price you pay for the stock. If a company's earnings decline it takes more years. As a shareholder, you want the company to earn back the price you pay as soon as possible. Therefore, lower P/E stocks are more attractive than higher P/E stocks so long as the PE Ratio is positive. Also for stocks with the same PE Ratio, the one with faster growth business is more attractive.

If a company loses money, the PE Ratio becomes meaningless.

To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the PE Ratio divided by the growth ratio. He thinks a company with a PE Ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a PE Ratio of 20, instead of a company growing 10% a year with a PE Ratio of 10.

Because the PE Ratio measures how long it takes to earn back the price you pay, the PE Ratio can be applied to the stocks across different industries. That is why it is the one of the most important and widely used indicators for the valuation of stocks.

Similar to the PE Ratio without NRI or PS Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PE Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

Investors need to be aware that the PE Ratio can be misleading a lot of times, especially when the underlying business is cyclical and unpredictable. As Peter Lynch pointed out, cyclical businesses have higher profit margins at the peaks of the business cycles. Their earnings are high and PE Ratios are artificially low. It is usually a bad idea to buy a cyclical business when the PE Ratio is low. A better ratio to identify the time to buy a cyclical businesses is the PS Ratio.

PE Ratio can also be affected by non-recurring-items such as the sale of part of businesses. This may increase for the current year or quarter dramatically. But it cannot be repeated over and over. Therefore PE Ratio without NRI is a more accurate indication of valuation than PE Ratio.


Ekennis Software Service PE Ratio Related Terms

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Ekennis Software Service (BOM:543475) Business Description

Traded in Other Exchanges
N/A
Address
No. 1&2 Second Floor, Neeladri Circle, Electronic City Phase-1, Dodathogur Village, Bangalore, KA, IND, 560100
Ekennis Software Service Ltd operates in the Information technology and Printing Industry. It is in the business of Software IT Solution and Consulting Services, IT Product / Software Development and Software Training, Enterprise Resource Planning solutions, Learning Management solutions, 3D Printing, Digital Printing and Packaging Design Management consultancy. The company generates majority of its revenue from Manpower Supply Services.

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