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NetEase (MEX:NTESN) Shiller PE Ratio : 27.88 (As of Dec. 15, 2024)


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What is NetEase Shiller PE Ratio?

As of today (2024-12-15), NetEase's current share price is MXN1615.99. NetEase's E10 for the quarter that ended in Sep. 2024 was MXN57.97. NetEase's Shiller PE Ratio for today is 27.88.

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

MEX:NTESN' s Shiller PE Ratio Range Over the Past 10 Years
Min: 20.3   Med: 36.96   Max: 63.83
Current: 26.11

During the past years, NetEase's highest Shiller PE Ratio was 63.83. The lowest was 20.30. And the median was 36.96.

MEX:NTESN's Shiller PE Ratio is ranked better than
50.34% of 145 companies
in the Interactive Media industry
Industry Median: 26.53 vs MEX:NTESN: 26.11

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.

NetEase's adjusted earnings per share data for the three months ended in Sep. 2024 was MXN28.244. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is MXN57.97 for the trailing ten years ended in Sep. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


NetEase Shiller PE Ratio Historical Data

The historical data trend for NetEase'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.

NetEase Shiller PE Ratio Chart

NetEase Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Shiller PE Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 32.89 46.37 42.54 26.09 28.43

NetEase Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 31.43 28.43 30.25 27.19 25.58

Competitive Comparison of NetEase's Shiller PE Ratio

For the Electronic Gaming & Multimedia subindustry, NetEase'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.


NetEase's Shiller PE Ratio Distribution in the Interactive Media Industry

For the Interactive Media industry and Communication Services sector, NetEase's Shiller PE Ratio distribution charts can be found below:

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



NetEase 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.

NetEase's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=1615.99/57.97
=27.88

* 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.

NetEase's E10 for the quarter that ended in Sep. 2024 is calculated as:

For example, NetEase's adjusted earnings per share data for the three months ended in Sep. 2024 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Sep. 2024 (Change)*Current CPI (Sep. 2024)
=28.244/115.7848*115.7848
=28.244

Current CPI (Sep. 2024) = 115.7848.

NetEase Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201412 4.648 99.000 5.436
201503 4.643 99.900 5.381
201506 5.436 99.500 6.326
201509 7.563 100.500 8.713
201512 8.665 100.600 9.973
201603 9.795 102.200 11.097
201606 11.507 101.400 13.139
201609 12.030 102.400 13.602
201612 16.536 102.600 18.661
201703 16.114 103.200 18.079
201706 11.950 103.100 13.420
201709 10.498 104.100 11.676
201712 5.809 104.500 6.436
201803 3.307 105.300 3.636
201806 9.878 104.900 10.903
201809 6.685 106.600 7.261
201812 7.559 106.500 8.218
201903 10.693 107.700 11.496
201906 13.228 107.700 14.221
201909 54.255 109.800 57.212
201912 12.504 111.200 13.020
202003 18.036 112.300 18.596
202006 22.490 110.400 23.587
202009 14.110 111.700 14.626
202012 4.411 111.500 4.581
202103 20.564 112.662 21.134
202106 16.266 111.769 16.850
202109 15.128 112.215 15.609
202112 27.538 113.108 28.190
202203 20.869 114.335 21.134
202206 24.039 114.558 24.296
202209 29.086 115.339 29.198
202212 16.919 115.116 17.017
202303 27.073 115.116 27.230
202306 30.403 114.558 30.729
202309 28.761 115.339 28.872
202312 24.011 114.781 24.221
202403 27.079 115.227 27.210
202406 26.263 114.781 26.493
202409 28.244 115.785 28.244

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.


NetEase  (MEX:NTESN) 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.


NetEase Shiller PE Ratio Related Terms

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


NetEase Business Description

Address
No. 599 Wangshang Road, NetEase Building, Binjiang District, Hangzhou, CHN, 310052
NetEase, which started on an internet portal service in 1997, is a leading online services provider in China. Its key services include online/mobile games, cloud music, media, advertising, email, live streaming, online education, and e-commerce. The company develops and operates some of the China's most popular PC client and mobile games, and it partners with global leading game developers, such as Blizzard Entertainment and Mojang (a Microsoft subsidiary).

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