John Hancock Preferredome FundHPI +0.56%31 PE Ratio (TTM) is 12.47 as of Jun. 27, 2026, which is 5% above its 10-year median of 11.90. GuruFocus rates HPI with a GF Score™ of 31/100. The stock has 6 warning signs investors should review. Among 1,205 Asset Management companies, John Hancock Preferredome Fund ranks worse than 54.02% on this metric.
During the past 9 years, John Hancock Preferredome Fund's highest 3-Year average EPS without NRI Growth Rate was 60.70% per year. The lowest was -15.90% per year. And the median was 6.30% per year.
John Hancock Preferredome Fund (NYSE:HPI) PE Ratio (TTM) Explanation
The PE Ratio (TTM) 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 (TTM) 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 (TTM) is positive. Also for stocks with the same PE Ratio (TTM), the one with faster growth business is more attractive.
If a company loses money, the PE Ratio (TTM) 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 (TTM) divided by the growth ratio. He thinks a company with a PE Ratio (TTM) 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 (TTM) of 20, instead of a company growing 10% a year with a PE Ratio (TTM) of 10.
Because the PE Ratio (TTM) measures how long it takes to earn back the price you pay, the PE Ratio (TTM) 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 (TTM) 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 Ratio (TTM)s are artificially low. It is usually a bad idea to buy a cyclical business when the PE Ratio (TTM) is low. A better ratio to identify the time to buy a cyclical businesses is the PS Ratio .
PE Ratio (TTM) 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 (TTM).
John Hancock Preferredome Fund PE Ratio (TTM) Related Terms
John Hancock Preferredome Fund PE Ratio (TTM) Historical Data
* 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.
John Hancock Preferredome Fund PE Ratio (TTM) Chart
For the Asset Management subindustry, John Hancock Preferredome Fund's PE Ratio (TTM), along with its competitors' market caps and PE Ratio (TTM) 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.
John Hancock Preferredome Fund PE Ratio (TTM) vs Asset Management Industry
For the Asset Management industry and Financial Services sector, John Hancock Preferredome Fund's PE Ratio (TTM) distribution charts can be found below:
* The bar in red indicates where John Hancock Preferredome Fund's PE Ratio (TTM) falls into.
John Hancock Preferredome Fund PE Ratio (TTM) Calculation
The PE Ratio (TTM), 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.
John Hancock Preferredome Fund's Share Price of today is $16.09.
For company reported semi-annually, John Hancock Preferredome Fund's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jan. 2026 adds up the semi-annually data reported by the company within the most recent 12 months, which was $1.29.
* 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 Ratio (TTM)s used by different investors. They are Trailing Twelve Month PE Ratio (TTM) or PE Ratio (TTM) (TTM), Forward PE Ratio, or PE Ratio without NRI. A new PE Ratio (TTM) based on inflation-adjusted normalized PE Ratio (TTM) is called Shiller PE Ratio, after Yale professor Robert Shiller.
In the calculation of PE Ratio (TTM), 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.
John Hancock Preferredome Fund (HPI) has a PE Ratio (TTM) of 12.47 as of Jun. 27, 2026. Trailing 12-month P/E ratio is the ratio of share price to a company's trailing 12-month earnings per share. View historical data on John Hancock Preferredome Fund and its competitors. This is near median its historical median of 11.90. Over the past decade, John Hancock Preferredome Fund's PE Ratio (TTM) has ranged from 4.26 to 25.63. According to the industry distribution chart, John Hancock Preferredome Fund ranks #651 out of 1205 companies in the Asset Management industry, placing it in the top 54%.
Is John Hancock Preferredome Fund's PE Ratio (TTM) too high?
John Hancock Preferredome Fund's current PE Ratio (TTM) of 12.47 is near median its 10-year median of 11.90. Over the past 10 years, this metric has ranged from a low of 4.26 to a high of 25.63. The Asset Management industry median PE Ratio (TTM) is 11.49. John Hancock Preferredome Fund's value of 12.47 is 8.5% above this industry median. Based on the distribution chart, John Hancock Preferredome Fund ranks #651 out of 1205 companies in the Asset Management industry, which is below the industry midpoint. Overall, John Hancock Preferredome Fund has a GF Score™ of 31/100, reflecting its overall financial health beyond just this single metric.
How does John Hancock Preferredome Fund's PE Ratio (TTM) compare to ISD and GLAD?
According to the Asset Management industry distribution chart, John Hancock Preferredome Fund ranks #651 out of 1205 companies for PE Ratio (TTM). This places John Hancock Preferredome Fund in the lower half of its industry. The industry median PE Ratio (TTM) is 11.49. John Hancock Preferredome Fund's value of 12.47 is 8.5% above this benchmark. Historically, John Hancock Preferredome Fund's own PE Ratio (TTM) has ranged from 4.26 to 25.63 over the past decade. While the company's 10-year median is 11.90 vs. the industry median of 11.49, John Hancock Preferredome Fund has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good PE Ratio (TTM) for an Asset Management company?
The median PE Ratio (TTM) among Asset Management companies is 11.49, based on 1,205 companies in the industry. Companies in the top quartile (top 25%) have a PE Ratio (TTM) significantly above this median, while those in the bottom quartile fall well below. However, PE Ratio (TTM) should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. John Hancock Preferredome Fund's current PE Ratio (TTM) of 12.47 is 8.5% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high PE Ratio (TTM) mean?
A high PE Ratio (TTM) can signal that a stock is expensive relative to its fundamentals. Trailing 12-month P/E ratio is the ratio of share price to a company's trailing 12-month earnings per share. View historical data on John Hancock Preferredome Fund and its competitors. For the Asset Management industry, the median PE Ratio (TTM) is 11.49 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. John Hancock Preferredome Fund's current PE Ratio (TTM) is 12.47, which is near median its own 10-year median of 11.90. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is John Hancock Preferredome Fund stock overvalued right now?
John Hancock Preferredome Fund (HPI) has a current PE Ratio (TTM) of 12.47. The current PE Ratio (TTM) is 12.47, which is near median its 10-year median of 11.90 and 8.5% above the Asset Management industry median of 11.49. John Hancock Preferredome Fund's overall GF Score™ is 31/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PE Ratio (TTM) calculated?
PE Ratio (TTM) is calculated from a company's financial statements. For John Hancock Preferredome Fund (HPI), the current PE Ratio (TTM) is 12.47 as of Jun. 27, 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.
John Hancock Preferredome Fund Business Description
John Hancock Preferred Income Fund is a closed-end, diversified management investment company. Its primary investment objective is to provide a high-level of current income consistent with preservation of capital. The fund's secondary investment objective is to provide growth of capital to the extent consistent with its primary investment objective. It seeks to achieve its investment objectives by investing in securities that may be undervalued relative to similar securities in the marketplace. The fund's principal investment strategies include investing a majority of its assets in preferred stocks and other preferred securities. Its portfolio composition consists of U.S preferred securities, common stocks, foreign preferred securities, corporate bonds, and short-term investments.
31GF Score
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