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Polaris PE Ratio

: 14.64 (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 (2022-07-01), Polaris's share price is $101.03. Polaris's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2022 was $6.90. Therefore, Polaris's PE Ratio for today is 14.64.


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

PII' s PE Ratio Range Over the Past 10 Years
Min: 9.01   Med: 20.64   Max: 302.67
Current: 14.65


During the past 13 years, the highest PE Ratio of Polaris was 302.67. The lowest was 9.01. And the median was 20.64.


PII's PE Ratio is ranked better than
56.46% of 914 companies
in the Vehicles & Parts industry
Industry Median: 17.02 vs PII: 14.65

Polaris's Earnings per Share (Diluted) for the three months ended in Mar. 2022 was $1.14. Its Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2022 was $6.90.

As of today (2022-07-01), Polaris's share price is $101.03. Polaris's EPS without NRI for the trailing twelve months (TTM) ended in Mar. 2022 was $6.90. Therefore, Polaris's PE Ratio without NRI for today is 14.64.

During the past 13 years, Polaris's highest PE Ratio without NRI was 302.67. The lowest was 9.01. And the median was 20.64.

Polaris's EPS without NRI for the three months ended in Mar. 2022 was $1.14. Its EPS without NRI for the trailing twelve months (TTM) ended in Mar. 2022 was $6.90.

During the past 12 months, Polaris's average EPS without NRI Growth Rate was 68.30% per year. During the past 3 years, the average EPS without NRI Growth Rate was 14.60% per year. During the past 5 years, the average EPS without NRI Growth Rate was 10.50% per year. During the past 10 years, the average EPS without NRI Growth Rate was -0.20% per year.

During the past 13 years, Polaris's highest 3-Year average EPS without NRI Growth Rate was 139.60% per year. The lowest was -26.00% per year. And the median was 12.10% per year.

Polaris's EPS (Basic) for the three months ended in Mar. 2022 was $1.16. Its EPS (Basic) for the trailing twelve months (TTM) ended in Mar. 2022 was $7.04.


Polaris PE Ratio Historical Data

The historical data trend for Polaris'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.

Polaris Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
PE Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 46.09 14.63 19.56 47.88 13.95

Polaris Quarterly Data
Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22
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 32.56 13.12 12.44 13.95 15.26

Competitive Comparison

For the Recreational Vehicles subindustry, Polaris'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.

   

Polaris PE Ratio Distribution

For the Vehicles & Parts industry and Consumer Cyclical sector, Polaris's PE Ratio distribution charts can be found below:

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



Polaris 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.

Polaris's PE Ratio for today is calculated as

PE Ratio=Share Price/Earnings per Share (Diluted) (TTM)
=101.03/6.900
=14.64

Polaris's Share Price of today is $101.03.
Polaris's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2022 adds up the quarterly data reported by the company within the most recent 12 months, which was $6.90.

* 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.


Polaris  (NYSE:PII) 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.


Polaris PE Ratio Related Terms

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


Polaris Business Description

Polaris logo
Industry
Consumer Cyclical » Vehicles & Parts NAICS : 336214 SIC : 3799
Traded in Other Exchanges
Address
2100 Highway 55, Medina, MN, USA, 55340
Polaris designs and manufactures off-road vehicles, including all-terrain vehicles and side-by-side vehicles for recreational and utility purposes, snowmobiles, and on-road vehicles, including motorcycles, along with the related replacement parts, garments, and accessories. The firm entered the aftermarket parts segment in 2016, tying up with Transamerican Auto Parts and then tapped into boats through the acquisition on Boat Holdings in 2018, offering exposure to new segments of the outdoor lifestyle market. Polaris products retailed through 2,300 dealers in North America and through 1,400 international dealers as well as more than 30 subsidiaries and 90 distributors in more than 120 countries outside North America at the end of 2020.
Executives
Wiehoff John director PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN"> Ownership Information: WIEHOFF JOHN a.header:link {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:visited {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:hover {color: #191970;}
Shotwell Gwynne director 2100 HIGHWAY 55 MEDINA MN 55340
Henricks Gwenne A. director 1410 NORTH MAIN ST. EAST PEORIA IL 61611
Farr Kevin M director MATTEL, INC., 333 CONTINENTAL BLVD M1-1518 EL SEGUNDO CA 90245
Hendrickson Gary E director 1101 THIRD STREET SOUTH MINNEAPOLIS MN 55415
Clayton Annette K director 11384 BAYBERRY DRIVE ROMEO MI 48065
Kessler Bernd F director 2100 HIGHWAY 55 MEDINA MN 55340
Bilicic George W director 1448 N LAKE SHORE DR APT. 16 A/B CHICAGO IL 60610
Musso Christopher officer: SVP-Electrification Strategy 2100 HIGHWAY 55 MEDINA MN 55340
Wine Scott W. director, officer: Chief Executive Officer 2100 HIGHWAY 55 MEDINA MN 55340
Menneto Steven officer: President-ORV 2100 HIGHWAY 55 MEDINA MN 55340
Williams James P officer: SVP-CHRO 600 TRAVIS, SUITE 5800 HOUSTON TX 77002
Speetzen Michael T officer: EVP & CFO XYLEM INC. 1133 WESTCHESTER AVENUE, SUITE N200 WHITE PLAINS NY 10604
Clark Dougherty Lucy officer: SVP-Gen Counsel & Secretary 2100 HIGHWAY 55 MEDINA MN 55340
Kingsley Lawrence D director C/O IDEX CORPORATION 630 DUNDEE ROAD NORTHBROOK IL 60062

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