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Home BancShares PE Ratio

: 12.24 (As of Today)
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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 (2021-10-19), Home BancShares's share price is $23.86. Home BancShares's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2021 was $1.95. Therefore, Home BancShares's PE Ratio for today is 12.24.


The historical rank and industry rank for Home BancShares's PE Ratio or its related term are showing as below:

NAS:HOMB' s PE Ratio Range Over the Past 10 Years
Min: 8.54   Med: 18.65   Max: 47.11
Current: 12.11

8.54
47.11

During the past 13 years, the highest PE Ratio of Home BancShares was 47.11. The lowest was 8.54. And the median was 18.65.


NAS:HOMB's PE Ratio is ranked lower than
89% of the 861 Companies
in the Banks industry.

( Industry Median: 16.80 vs. NAS:HOMB: 12.11 )

Home BancShares's Earnings per Share (Diluted) for the three months ended in Jun. 2021 was $0.48. Its Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2021 was $1.95.

As of today (2021-10-19), Home BancShares's share price is $23.86. Home BancShares's EPS without NRI for the trailing twelve months (TTM) ended in Jun. 2021 was $1.95. Therefore, Home BancShares's PE Ratio without NRI for today is 12.24.

During the past 13 years, Home BancShares's highest PE Ratio without NRI was 47.11. The lowest was 8.54. And the median was 18.65.

Home BancShares's EPS without NRI for the three months ended in Jun. 2021 was $0.48. Its EPS without NRI for the trailing twelve months (TTM) ended in Jun. 2021 was $1.95.

During the past 12 months, Home BancShares's average EPS without NRI Growth Rate was -24.90% per year. During the past 3 years, the average EPS without NRI Growth Rate was 13.50% per year. During the past 5 years, the average EPS without NRI Growth Rate was 8.60% per year. During the past 10 years, the average EPS without NRI Growth Rate was 21.60% per year.

During the past 13 years, Home BancShares's highest 3-Year average EPS without NRI Growth Rate was 63.70% per year. The lowest was -19.00% per year. And the median was 16.55% per year.

Home BancShares's EPS (Basic) for the three months ended in Jun. 2021 was $0.48. Its EPS (Basic) for the trailing twelve months (TTM) ended in Jun. 2021 was $1.95.


Home BancShares PE Ratio Historical Data

The historical data trend for Home BancShares'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.

Home BancShares Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
PE Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 22.04 26.12 9.45 11.36 14.98

Home BancShares Quarterly Data
Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21
PE Ratio 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 12.19 12.21 14.98 14.62 12.66

Competitive Comparison

For the Banks - Regional subindustry, Home BancShares'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.

   

Home BancShares PE Ratio Distribution

For the Banks industry and Financial Services sector, Home BancShares's PE Ratio distribution charts can be found below:

* The bar in red indicates where Home BancShares's PE Ratio falls into.



Home BancShares 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.

Home BancShares's PE Ratio for today is calculated as

PE Ratio=Share Price/Earnings per Share (Diluted) (TTM)
=23.86/1.950
=12.24

Home BancShares's Share Price of today is $23.86.
Home BancShares's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2021 adds up the quarterly data reported by the company within the most recent 12 months, which was $1.95.

* 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 or PE Ratio (TTM), 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.


Home BancShares  (NAS:HOMB) 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.


Home BancShares PE Ratio Related Terms

Thank you for viewing the detailed overview of Home BancShares's PE Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Home BancShares Business Description

Home BancShares logo
Industry
Financial Services » Banks NAICS : 522110 SIC : 6022
Traded in Other Exchanges
N/A
Address
72032, Suite 100, Conway, AR, USA, 72032
Home BancShares is a bank holding company that primarily operates through its wholly owned community bank subsidiary, Centennial Bank. The bank provides a broad range of commercial and retail banking, as well as related financial services, to a diverse customer base. Its customer base includes businesses, real estate developers and investors, individuals, and municipalities. The company's loan portfolio, while diversified, is typically between half and two thirds in commercial real estate loans. The company's strategy emphasizes growth, both through strategic acquisitions and organically within its existing markets. The bank also emphasizes attracting experienced bankers, strong credit quality, and a solid balance sheet. The bank's main source of net revenue is net interest income.
Executives
Carter Russell Davis Iii officer: Centennial Bank Regional Pres. 15 GETTYSBURG SOUTH CABOT AR 72023
Hinkle James G director P.O. BOX 1228 MOUNTAIN VIEW AR 72560
French Tracy director, officer: Centennial Bank CEO/President 78 GREYSTONE BLVD CABOT AR 72023
Floyd Jennifer C. officer: Chief Accounting Officer P.O. BOX 966 CONWAY AR 72033
Beebe Mike director 2200 WEST DON TYSON PARKWAY SPRINGDALE AR 72762
Garrett Karen director P.O. BOX 966 CONWAY AR 72033
Rankin Jim director P.O. BOX 966 CONWAY AR 72033
Townsell Donna director, officer: Director of Investor Relations P.O. BOX 966 CONWAY AR 72033
Adams Milburn director 1502 DOGWOOD TRAIL CONWAY AR 72032
Adcock Robert H Jr director P O BOX 966 CONWAY AR 72033
Engelkes Jack director P O BOX 1167 CONWAY AR 72032
Davis Brian director, officer: Chief Financial Officer 6 GATEWOOD CV LITTLE ROCK AR 72206
Ashley Richard H director 2851 LAKEWOOD VILLAGE DR. NORTH LITTLE ROCK AR 72116
Longe Thomas J director TIB BANK 599 9TH STREET NO. SUITE 101 NAPLES FL 34102
Lieblong Alex R director 210 E. ELM STREET P. O. BOX 7200 EL DORADO AR 71730

Home BancShares Headlines

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