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 (2026-07-02), Carlo Gavazzi Holding AG's share price is CHF149.00.
Carlo Gavazzi Holding AG's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 was CHF2.57. Therefore, Carlo Gavazzi Holding AG's PE Ratio for today is 57.98.
Warning Sign:
Carlo Gavazzi Holding AG stock PE Ratio (=56.23) is close to 10-year high of 61.67.
During the past 13 years, Carlo Gavazzi Holding AG's highest PE Ratio was 61.67. The lowest was 6.98. And the median was 17.31.
During the past 12 months, Carlo Gavazzi Holding AG's average EPS without NRIGrowth Rate was -47.90% per year.
During the past 3 years, the average EPS without NRIGrowth Rate was -58.50% per year.
During the past 5 years, the average EPS without NRIGrowth Rate was -34.00% per year.
During the past 10 years, the average EPS without NRIGrowth Rate was -6.30% per year.
During the past 13 years, Carlo Gavazzi Holding AG's highest 3-Year average EPS without NRI Growth Rate was 67.30% per year. The lowest was -58.50% per year. And the median was 7.50% per year.
Carlo Gavazzi Holding AG (LTS:0QL5) 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.
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.
* 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.
For the Electrical Equipment & Parts subindustry, Carlo Gavazzi Holding AG'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.
Carlo Gavazzi Holding AG PE Ratio vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Carlo Gavazzi Holding AG's PE Ratio distribution charts can be found below:
* The bar in red indicates where Carlo Gavazzi Holding AG's PE Ratio falls into.
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.
Carlo Gavazzi Holding AG's Share Price of today is CHF149.00.
For company reported semi-annually, Carlo Gavazzi Holding AG's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the semi-annually data reported by the company within the most recent 12 months, which was CHF2.57.
* 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.
Carlo Gavazzi Holding AG (LTS:0QL5) has a PE Ratio of 57.98 as of Jul. 02, 2026. P/E ratio is the ratio of share price to a company's earnings per share. View historical data on Carlo Gavazzi Holding AG and its competitors. This is 235% above median its historical median of 17.31. Over the past decade, Carlo Gavazzi Holding AG's PE Ratio has ranged from 6.98 to 61.67.
Is Carlo Gavazzi Holding AG's PE Ratio too high?
Carlo Gavazzi Holding AG's current PE Ratio of 57.98 is 235% above median its 10-year median of 17.31. Over the past 10 years, this metric has ranged from a low of 6.98 to a high of 61.67. Overall, Carlo Gavazzi Holding AG has a GF Score™ of 73/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Carlo Gavazzi Holding AG's PE Ratio compare to VRT and BE?
Carlo Gavazzi Holding AG's PE Ratio of 57.98 can be compared against companies in the Industrial Products industry. Historically, Carlo Gavazzi Holding AG's own PE Ratio has ranged from 6.98 to 61.67 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good PE Ratio for an Industrial Products company?
A good PE Ratio depends on the Industrial Products industry context. However, PE Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high PE Ratio mean?
A high PE Ratio can signal that a stock is expensive relative to its fundamentals. P/E ratio is the ratio of share price to a company's earnings per share. View historical data on Carlo Gavazzi Holding AG and its competitors. Carlo Gavazzi Holding AG's current PE Ratio is 57.98, which is 235% above median its own 10-year median of 17.31. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Carlo Gavazzi Holding AG stock overvalued right now?
Based on GuruFocus' analysis, Carlo Gavazzi Holding AG (LTS:0QL5) is currently considered Modestly Undervalued. The stock's GF Value™ is CHF210.70, compared to a current price of CHF149.00 — trading 29.3% below its estimated fair value. The current PE Ratio is 57.98, which is 235% above median its 10-year median of 17.31. Carlo Gavazzi Holding AG's overall GF Score™ is 73/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PE Ratio calculated?
PE Ratio is calculated from a company's financial statements. For Carlo Gavazzi Holding AG (LTS:0QL5), the current PE Ratio is 57.98 as of Jul. 02, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Carlo Gavazzi Holding AG (LTS:0QL5) Overvalued in 2026?
Based on GuruFocus' analysis, Carlo Gavazzi Holding AG stock appears to be undervalued.
The current stock price of CHF149.00 is trading 29.3% below its estimated GF Value™ of CHF210.70.
GuruFocus considers Carlo Gavazzi Holding AG to be Modestly Undervalued.
Key valuation signals for LTS:0QL5:
PE Ratio: 57.98 (235% above median its 10-year median of 17.31)
GF Value™: CHF210.70 vs. price of CHF149.00 (29.3% below fair value)
No single metric tells the full story. See the LTS:0QL5 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Carlo Gavazzi Holding AG is engaged in the designing, manufacturing, and marketing of electronic control components for industrial and building automation markets. The product portfolio of the company comprises sensors, monitoring relays, timers, energy management systems, solid-state relays, safety devices, Fieldbus systems, and others. Its products are marketed through a network of sales companies and independent national distributors. It has operational footprints across Switzerland, Italy, other Europe, the Middle East and Africa, the United States of America, other North America, and Asia.
73GF Score
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