Diageo (HAM:GUI) Shiller PE Ratio: 11.17 (As of Jul. 15, 2026) — 61% Below Median

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HAM:GUI Diageo PLC HAM:GUI
64 GF Score
Price €17.65
GF Value €28.05
Valuation Significantly Undervalued
! 5 Warning Signs
View Full Analysis

What is Diageo Shiller PE Ratio?

Diageo HAM:GUI -2.67% 64 Shiller PE Ratio is 11.17 as of Jul. 15, 2026, which is 61% below its 10-year median of 28.28. GuruFocus rates HAM:GUI with a GF Score™ of 64/100 and a GF Value™ of €28.05 (Significantly Undervalued). The stock has 5 warning signs investors should review. Among 128 Beverages - Alcoholic companies, Diageo ranks better than 78.12% on this metric.

As of today (2026-07-15), Diageo's current share price is €17.65. Diageo's E10 for the fiscal year that ended in Jun25 was €1.58. Diageo's Shiller PE Ratio for today is 11.17.

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

HAM:GUI' s Shiller PE Ratio Range Over the Past 10 Years
Min: 10.31   Med: 28.28   Max: 38.81
Current: 11.23

During the past 13 years, Diageo's highest Shiller PE Ratio was 38.81. The lowest was 10.31. And the median was 28.28.

HAM:GUI's Shiller PE Ratio is ranked better than
78.12% of 128 companies
in the Beverages - Alcoholic industry
Industry Median: 16.19 vs HAM:GUI: 11.23

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.

Diageo's adjusted earnings per share data of for the fiscal year that ended in Jun25 was €0.916. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is €1.58 for the trailing ten years ended in Jun25.

Shiller PE for Stocks: The True Measure of Stock Valuation


Diageo  (HAM:GUI) 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.


Diageo Shiller PE Ratio Related Terms


Diageo Shiller PE Ratio Historical Data

* Premium members only.

The historical data trend for Diageo'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.

Diageo Shiller PE Ratio Chart

Diageo Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Shiller PE Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 33.15 29.86 26.02 18.43 13.53

Diageo Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
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 0.00 18.43 0.00 13.53 0.00

HAM:GUI vs BF.B: Shiller PE Ratio Comparison

For the Beverages - Wineries & Distilleries subindustry, Diageo'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.


Diageo Shiller PE Ratio vs Beverages - Alcoholic Industry

For the Beverages - Alcoholic industry and Consumer Defensive sector, Diageo's Shiller PE Ratio distribution charts can be found below:

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


HAM:GUI
64GF Score
Diageo PLC HAM:GUI
Shiller PE Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Diageo 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.

Diageo's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=17.65/1.58
=11.17

* 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.

Diageo's E10 for the fiscal year that ended in Jun25 is calculated as:

For example, Diageo's adjusted earnings per share data for the fiscal year that ended in Jun25 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Jun25 (Change)*Current CPI (Jun25)
=0.916/138.4000*138.4000
=0.916

Current CPI (Jun25) = 138.4000.

Diageo Annual Data

Earnings per Share (Diluted) CPI Adj_EPS
201606 1.058 101.000 1.450
201706 1.222 103.500 1.634
201806 1.355 105.900 1.771
201906 1.459 107.900 1.871
202006 0.655 108.800 0.833
202106 1.303 111.400 1.619
202206 1.742 120.500 2.001
202306 1.806 129.400 1.932
202406 1.605 133.000 1.670
202506 0.916 138.400 0.916

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.

Frequently Asked Questions Learn more about Shiller PE Ratio →
What does a Shiller PE Ratio of 11.17 mean?
Diageo (HAM:GUI) has a Shiller PE Ratio of 11.17 as of Jul. 15, 2026. Shiller price-earnings ratio is the ratio of share price to a company's inflation-adjusted earnings over a 10-year period. View historical data on Diageo and its competitors. This is 61% below median its historical median of 28.28. Over the past decade, Diageo's Shiller PE Ratio has ranged from 10.31 to 38.81. According to the industry distribution chart, Diageo ranks #28 out of 128 companies in the Beverages - Alcoholic industry, placing it in the top 21.9%.
Is Diageo's Shiller PE Ratio too high?
Diageo's current Shiller PE Ratio of 11.17 is 61% below median its 10-year median of 28.28. Over the past 10 years, this metric has ranged from a low of 10.31 to a high of 38.81. The Beverages - Alcoholic industry median Shiller PE Ratio is 16.19. Diageo's value of 11.17 is 31% below this industry median. Based on the distribution chart, Diageo ranks #28 out of 128 companies in the Beverages - Alcoholic industry, which is in the top quartile — a strong position relative to peers. Overall, Diageo has a GF Score™ of 64/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Diageo's Shiller PE Ratio compare to BF.B?
According to the Beverages - Alcoholic industry distribution chart, Diageo ranks #28 out of 128 companies for Shiller PE Ratio. This places Diageo in the top 22% of its industry — outperforming the majority of peers. The industry median Shiller PE Ratio is 16.19. Diageo's value of 11.17 is 31% below this benchmark. Historically, Diageo's own Shiller PE Ratio has ranged from 10.31 to 38.81 over the past decade. While the company's 10-year median is 28.28 vs. the industry median of 16.19, Diageo 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 Shiller PE Ratio for a Beverages - Alcoholic company?
The median Shiller PE Ratio among Beverages - Alcoholic companies is 16.19, based on 128 companies in the industry. Companies in the top quartile (top 25%) have a Shiller PE Ratio significantly above this median, while those in the bottom quartile fall well below. However, Shiller PE Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Diageo's current Shiller PE Ratio of 11.17 is 31% 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 Shiller PE Ratio mean?
A high Shiller PE Ratio can signal that a stock is expensive relative to its fundamentals. Shiller price-earnings ratio is the ratio of share price to a company's inflation-adjusted earnings over a 10-year period. View historical data on Diageo and its competitors. For the Beverages - Alcoholic industry, the median Shiller PE Ratio is 16.19 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Diageo's current Shiller PE Ratio is 11.17, which is 61% below median its own 10-year median of 28.28. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Diageo stock overvalued right now?
Based on GuruFocus' analysis, Diageo (HAM:GUI) is currently considered Significantly Undervalued. The stock's GF Value™ is €28.05, compared to a current price of €17.65 — trading 37.1% below its estimated fair value. The current Shiller PE Ratio is 11.17, which is 61% below median its 10-year median of 28.28 and 31% below the Beverages - Alcoholic industry median of 16.19. Diageo's overall GF Score™ is 64/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Shiller PE Ratio calculated?
Shiller PE Ratio is calculated from a company's financial statements. For Diageo (HAM:GUI), the current Shiller PE Ratio is 11.17 as of Jul. 15, 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 Diageo (HAM:GUI) Overvalued in 2026?

Based on GuruFocus' analysis, Diageo stock appears to be undervalued. The current stock price of €17.65 is trading 37.1% below its estimated GF Value™ of €28.05. GuruFocus considers Diageo to be Significantly Undervalued.

Key valuation signals for HAM:GUI:

  • Shiller PE Ratio: 11.17 (61% below median its 10-year median of 28.28)
  • GF Value™: €28.05 vs. price of €17.65 (37.1% below fair value)
  • GF Score™: 64/100 with 5 warning signs
  • Industry Position: 31% below the Beverages - Alcoholic median (#28 of 128)

No single metric tells the full story. See the HAM:GUI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Diageo Business Description

Address 16 Great Marlborough Street, London, GBR, W1F 7HS
Formed in 1997 through the merger of Grand Metropolitan and Guinness, Diageo is the largest distiller globally by sales. Diageo acquired some of the Seagram assets in 2001, which gave it brands such as Captain Morgan rum and Crown Royal Canadian whisky. Since then, mergers and acquisitions have mostly been bolt-on in nature, plugging gaps in the company's product and geographic portfolio.
64GF Score

Get the complete analysis for HAM:GUI

Shiller PE Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€17.65
Price
€28.05
GF Value