What is Companhia Deneamento Basico Do Estado Deo Paulo PE Ratio (TTM)?
Companhia Deneamento Basico Do Estado Deo PauloSBS 86 PE Ratio (TTM) is 12.21 as of Jul. 03, 2026, which is 10% above its 10-year median of 11.13. GuruFocus rates SBS with a GF Score™ of 86/100 and a GF Value™ of $4.75 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 447 Utilities - Regulated companies, Companhia Deneamento Basico Do Estado Deo Paulo ranks better than 65.32% on this metric.
Companhia Deneamento Basico Do Estado Deo Paulo (NYSE:SBS) 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).
Companhia Deneamento Basico Do Estado Deo Paulo PE Ratio (TTM) Related Terms
Companhia Deneamento Basico Do Estado Deo Paulo 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.
Companhia Deneamento Basico Do Estado Deo Paulo PE Ratio (TTM) Chart
Companhia Deneamento Basico Do Estado Deo Paulo Annual Data
For the Utilities - Regulated Water subindustry, Companhia Deneamento Basico Do Estado Deo Paulo'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.
Companhia Deneamento Basico Do Estado Deo Paulo PE Ratio (TTM) vs Utilities - Regulated Industry
Companhia Deneamento Basico Do Estado Deo Paulo 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.
Companhia Deneamento Basico Do Estado Deo Paulo's Share Price of today is $5.75.
Companhia Deneamento Basico Do Estado Deo Paulo's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $0.47.
* 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.
Companhia Deneamento Basico Do Estado Deo Paulo (SBS) has a PE Ratio (TTM) of 12.21 as of Jul. 03, 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 Companhia Deneamento Basico Do Estado Deo Paulo and its competitors. This is 10% above median its historical median of 11.13. Over the past decade, Companhia Deneamento Basico Do Estado Deo Paulo's PE Ratio (TTM) has ranged from 6.03 to 36.34. According to the industry distribution chart, Companhia Deneamento Basico Do Estado Deo Paulo ranks #155 out of 447 companies in the Utilities - Regulated industry, placing it in the top 34.7%.
Is Companhia Deneamento Basico Do Estado Deo Paulo's PE Ratio (TTM) too high?
Companhia Deneamento Basico Do Estado Deo Paulo's current PE Ratio (TTM) of 12.21 is 10% above median its 10-year median of 11.13. Over the past 10 years, this metric has ranged from a low of 6.03 to a high of 36.34. The Utilities - Regulated industry median PE Ratio (TTM) is 15.56. Companhia Deneamento Basico Do Estado Deo Paulo's value of 12.21 is 21.5% below this industry median. Based on the distribution chart, Companhia Deneamento Basico Do Estado Deo Paulo ranks #155 out of 447 companies in the Utilities - Regulated industry, which is above the industry midpoint. Overall, Companhia Deneamento Basico Do Estado Deo Paulo has a GF Score™ of 86/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Companhia Deneamento Basico Do Estado Deo Paulo's PE Ratio (TTM) compare to AWK and WTRG?
According to the Utilities - Regulated industry distribution chart, Companhia Deneamento Basico Do Estado Deo Paulo ranks #155 out of 447 companies for PE Ratio (TTM). This puts Companhia Deneamento Basico Do Estado Deo Paulo in the upper half of its industry. The industry median PE Ratio (TTM) is 15.56. Companhia Deneamento Basico Do Estado Deo Paulo's value of 12.21 is 21.5% below this benchmark. Historically, Companhia Deneamento Basico Do Estado Deo Paulo's own PE Ratio (TTM) has ranged from 6.03 to 36.34 over the past decade. While the company's 10-year median is 11.13 vs. the industry median of 15.56, Companhia Deneamento Basico Do Estado Deo Paulo has consistently been below 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 Utilities - Regulated company?
The median PE Ratio (TTM) among Utilities - Regulated companies is 15.56, based on 447 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. Companhia Deneamento Basico Do Estado Deo Paulo's current PE Ratio (TTM) of 12.21 is 21.5% below 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 Companhia Deneamento Basico Do Estado Deo Paulo and its competitors. For the Utilities - Regulated industry, the median PE Ratio (TTM) is 15.56 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Companhia Deneamento Basico Do Estado Deo Paulo's current PE Ratio (TTM) is 12.21, which is 10% above median its own 10-year median of 11.13. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Companhia Deneamento Basico Do Estado Deo Paulo stock overvalued right now?
Based on GuruFocus' analysis, Companhia Deneamento Basico Do Estado Deo Paulo (SBS) is currently considered Modestly Overvalued. The stock's GF Value™ is $4.75, compared to a current price of $5.75 — trading 21.1% above its estimated fair value. The current PE Ratio (TTM) is 12.21, which is 10% above median its 10-year median of 11.13 and 21.5% below the Utilities - Regulated industry median of 15.56. Companhia Deneamento Basico Do Estado Deo Paulo's overall GF Score™ is 86/100 with 5 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 Companhia Deneamento Basico Do Estado Deo Paulo (SBS), the current PE Ratio (TTM) is 12.21 as of Jul. 03, 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 Companhia Deneamento Basico Do Estado Deo Paulo (SBS) Overvalued in 2026?
Based on GuruFocus' analysis, Companhia Deneamento Basico Do Estado Deo Paulo stock appears to be overvalued.
The current stock price of $5.75 is trading 21.1% above its estimated GF Value™ of $4.75.
GuruFocus considers Companhia Deneamento Basico Do Estado Deo Paulo to be Modestly Overvalued.
Key valuation signals for SBS:
PE Ratio (TTM): 12.21 (10% above median its 10-year median of 11.13)
GF Value™: $4.75 vs. price of $5.75 (21.1% above fair value)
Industry Position: 21.5% below the Utilities - Regulated median (#155 of 447)
No single metric tells the full story. See the SBS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Companhia Deneamento Basico Do Estado Deo Paulo Business Description
Companhia De Saneamento Basico Do Estado De Sao Paulo is engaged in the provision of basic and environmental sanitation services in Sao Paulo State, and supplies treated water and sewage services on a wholesale basis. SABESP may perform activities in other states and countries and can operate in drainage, urban cleaning, solid waste handling, and energy markets. The company determined that it has a single operating segment, which is the provision of sanitation services.
86GF Score
Get the complete analysis for SBS
PE Ratio (TTM) is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
SBS has been successfully added to your 
