GURUFOCUS.COM » STOCK LIST » Healthcare » Drug Manufacturers » Dr Reddy's Laboratories Ltd (FRA:RDDA) » Definitions » Shiller PE Ratio

Dr Reddy's Laboratories (FRA:RDDA) Shiller PE Ratio : 31.25 (As of May. 22, 2024)


View and export this data going back to . Start your Free Trial

What is Dr Reddy's Laboratories Shiller PE Ratio?

As of today (2024-05-22), Dr Reddy's Laboratories's current share price is €62.50. Dr Reddy's Laboratories's E10 for the quarter that ended in Mar. 2024 was €2.00. Dr Reddy's Laboratories's Shiller PE Ratio for today is 31.25.

The historical rank and industry rank for Dr Reddy's Laboratories's Shiller PE Ratio or its related term are showing as below:

FRA:RDDA' s Shiller PE Ratio Range Over the Past 10 Years
Min: 21.64   Med: 33.21   Max: 55.96
Current: 32.36

During the past years, Dr Reddy's Laboratories's highest Shiller PE Ratio was 55.96. The lowest was 21.64. And the median was 33.21.

FRA:RDDA's Shiller PE Ratio is ranked worse than
63.98% of 533 companies
in the Drug Manufacturers industry
Industry Median: 24.85 vs FRA:RDDA: 32.36

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

Dr Reddy's Laboratories's adjusted earnings per share data for the three months ended in Mar. 2024 was €0.870. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is €2.00 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Dr Reddy's Laboratories Shiller PE Ratio Historical Data

The historical data trend for Dr Reddy's Laboratories's Shiller 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.

Dr Reddy's Laboratories Shiller PE Ratio Chart

Dr Reddy's Laboratories Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Shiller PE Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 24.41 33.62 30.47 28.97 34.45

Dr Reddy's Laboratories Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Shiller PE Ratio Get a 7-Day Free Trial 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 28.97 30.68 32.56 33.05 34.45

Competitive Comparison of Dr Reddy's Laboratories's Shiller PE Ratio

For the Drug Manufacturers - Specialty & Generic subindustry, Dr Reddy's Laboratories's Shiller PE Ratio, along with its competitors' market caps and Shiller 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.


Dr Reddy's Laboratories's Shiller PE Ratio Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Dr Reddy's Laboratories's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Dr Reddy's Laboratories's Shiller PE Ratio falls into.



Dr Reddy's Laboratories Shiller PE Ratio Calculation

For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. The result is used for P/E calculation. Since it looks at the average over the last 10 years, the Shiller PE Ratio is also called PE10.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

Dr Reddy's Laboratories's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=62.50/2
=31.25

* 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.

Dr Reddy's Laboratories's E10 for the quarter that ended in Mar. 2024 is calculated as:

For example, Dr Reddy's Laboratories's adjusted earnings per share data for the three months ended in Mar. 2024 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=0.87/153.0345*153.0345
=0.870

Current CPI (Mar. 2024) = 153.0345.

Dr Reddy's Laboratories Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201406 0.397 94.103 0.646
201409 0.428 96.780 0.677
201412 0.435 96.780 0.688
201503 0.449 97.163 0.707
201506 0.511 99.841 0.783
201509 0.568 101.753 0.854
201512 0.467 102.901 0.695
201603 0.059 102.518 0.088
201606 0.098 105.961 0.142
201609 0.237 105.961 0.342
201612 0.396 105.196 0.576
201703 0.268 105.196 0.390
201706 0.049 107.109 0.070
201709 0.223 109.021 0.313
201712 0.265 109.404 0.371
201803 0.227 109.786 0.316
201806 0.347 111.317 0.477
201809 0.359 115.142 0.477
201812 0.362 115.142 0.481
201903 0.333 118.202 0.431
201906 0.509 120.880 0.644
201909 0.838 123.175 1.041
201912 -0.435 126.235 -0.527
202003 0.559 124.705 0.686
202006 0.409 127.000 0.493
202009 0.529 130.118 0.622
202012 0.013 130.889 0.015
202103 0.384 131.771 0.446
202106 0.387 134.084 0.442
202109 0.689 135.847 0.776
202112 0.499 138.161 0.553
202203 0.063 138.822 0.069
202206 0.865 142.347 0.930
202209 0.842 144.661 0.891
202212 0.858 145.763 0.901
202303 0.655 146.865 0.683
202306 0.945 150.280 0.962
202309 1.001 151.492 1.011
202312 0.911 152.924 0.912
202403 0.870 153.035 0.870

Add all the adjusted EPS together and divide 10 will get our E10.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Dr Reddy's Laboratories  (FRA:RDDA) Shiller PE Ratio Explanation

Compared with the regular PE Ratio, which works poorly for cyclical businesses, the Shiller PE Ratio smoothed out the fluctuations of profit margins during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Shiller PE Ratio should give similar results to regular PE Ratio.

Compared with the PS Ratio, the Shiller PE Ratio makes the comparison between different industries more meaningful.


Be Aware

Shiller PE Ratio assumes that over the long term, businesses and profitability revert to their means. If a company's business model does not work in the future compared with the past, Shiller PE Ratio and PS Ratio will give false valuations.


Dr Reddy's Laboratories Shiller PE Ratio Related Terms

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


Dr Reddy's Laboratories (FRA:RDDA) Business Description

Address
8-2-337, Road No. 3, Banjara Hills, Hyderabad, TG, IND, 500 034
Dr. Reddy's is one of the largest generic drug manufacturers in the world. It has a significant presence in North America, a region that makes up roughly half of its generics sales, and it services India (22% of its generics sales), Russia (12%), and certain European and Latin American countries. Beyond simple generics, Dr. Reddy's also has a solid portfolio of injectables which make up 25% of its North America sales. In branded generic markets like India, Dr. Reddy's has established a compelling presence with its strong brand name and earned a top five spot in key therapeutic areas including oncology and gastroenterology. Dr. Reddy's also has an active pharmaceutical ingredient business that manufactures over 150 APIs and sells in over 75 countries.

Dr Reddy's Laboratories (FRA:RDDA) Headlines

No Headlines