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Infosys (LTS:0XSE) Shiller PE Ratio : 37.33 (As of May. 01, 2024)


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What is Infosys Shiller PE Ratio?

As of today (2024-05-01), Infosys's current share price is $16.80. Infosys's E10 for the quarter that ended in Dec. 2023 was $0.45. Infosys's Shiller PE Ratio for today is 37.33.

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

LTS:0XSE' s Shiller PE Ratio Range Over the Past 10 Years
Min: 16.53   Med: 24.25   Max: 46.42
Current: 28.1

During the past years, Infosys's highest Shiller PE Ratio was 46.42. The lowest was 16.53. And the median was 24.25.

LTS:0XSE's Shiller PE Ratio is ranked better than
54.63% of 908 companies
in the Software industry
Industry Median: 30.98 vs LTS:0XSE: 28.10

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.

Infosys's adjusted earnings per share data for the three months ended in Dec. 2023 was $0.180. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is $0.45 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


Infosys Shiller PE Ratio Historical Data

The historical data trend for Infosys'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.

Infosys Shiller PE Ratio Chart

Infosys 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 18.58 35.74 45.08 30.40 -

Infosys 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 30.40 27.52 28.97 30.52 -

Competitive Comparison of Infosys's Shiller PE Ratio

For the Information Technology Services subindustry, Infosys'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.


Infosys's Shiller PE Ratio Distribution in the Software Industry

For the Software industry and Technology sector, Infosys's Shiller PE Ratio distribution charts can be found below:

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



Infosys 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.

Infosys's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=16.80/0.45
=37.33

* 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.

Infosys's E10 for the quarter that ended in Dec. 2023 is calculated as:

For example, Infosys's adjusted earnings per share data for the three months ended in Dec. 2023 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=0.18/153.2548*153.2548
=0.180

Current CPI (Dec. 2023) = 153.2548.

Infosys Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201403 0.104 91.425 0.174
201406 0.106 94.103 0.173
201409 0.111 96.780 0.176
201412 0.116 96.780 0.184
201503 0.110 97.163 0.174
201506 0.105 99.841 0.161
201509 0.115 101.753 0.173
201512 0.115 102.901 0.171
201603 0.114 102.518 0.170
201606 0.110 105.961 0.159
201609 0.120 105.961 0.174
201612 0.120 105.196 0.175
201703 0.102 105.196 0.149
201706 0.121 107.109 0.173
201709 0.132 109.021 0.186
201712 0.169 109.404 0.237
201803 0.130 109.786 0.181
201806 0.122 111.317 0.168
201809 0.130 115.142 0.173
201812 0.118 115.142 0.157
201903 0.130 118.202 0.169
201906 0.130 120.880 0.165
201909 0.129 123.175 0.161
201912 0.151 126.235 0.183
202003 0.142 124.705 0.175
202006 0.130 127.000 0.157
202009 0.151 130.118 0.178
202012 0.170 130.889 0.199
202103 0.161 131.771 0.187
202106 0.172 134.084 0.197
202109 0.172 135.847 0.194
202112 0.178 138.161 0.197
202203 0.179 138.822 0.198
202206 0.162 142.347 0.174
202209 0.183 144.661 0.194
202212 0.191 145.763 0.201
202303 0.180 146.865 0.188
202306 0.170 150.280 0.173
202309 0.180 151.492 0.182
202312 0.180 153.255 0.180

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.


Infosys  (LTS:0XSE) 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.


Infosys Shiller PE Ratio Related Terms

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


Infosys (LTS:0XSE) Business Description

Address
44, Infosys Avenue, Hosur Road, Electronics City, Bengaluru, KA, IND, 560 100
Infosys is a leading global IT services provider, with nearly 250,000 employees. Based in Bangalore, the Indian IT services firm leverages its offshore outsourcing model to derive 60% of its revenue from North America. The company offers traditional IT services offerings: consulting, managed services and cloud infrastructure services, and business process outsourcing as a service (BPaaS).

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