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TCEHY (Tencent Holdings) Shiller PE Ratio : 29.49 (As of Dec. 11, 2024)


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What is Tencent Holdings Shiller PE Ratio?

As of today (2024-12-11), Tencent Holdings's current share price is $52.78. Tencent Holdings's E10 for the quarter that ended in Sep. 2024 was $1.79. Tencent Holdings's Shiller PE Ratio for today is 29.49.

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

TCEHY' s Shiller PE Ratio Range Over the Past 10 Years
Min: 17.84   Med: 53.55   Max: 101.14
Current: 28.38

During the past years, Tencent Holdings's highest Shiller PE Ratio was 101.14. The lowest was 17.84. And the median was 53.55.

TCEHY's Shiller PE Ratio is ranked worse than
54.48% of 145 companies
in the Interactive Media industry
Industry Median: 26.55 vs TCEHY: 28.38

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.

Tencent Holdings's adjusted earnings per share data for the three months ended in Sep. 2024 was $0.798. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is $1.79 for the trailing ten years ended in Sep. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Tencent Holdings Shiller PE Ratio Historical Data

The historical data trend for Tencent Holdings'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.

Tencent Holdings Shiller PE Ratio Chart

Tencent Holdings 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 65.80 75.60 43.57 26.80 22.84

Tencent Holdings 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 24.16 22.84 22.88 27.23 31.03

Competitive Comparison of Tencent Holdings's Shiller PE Ratio

For the Internet Content & Information subindustry, Tencent Holdings'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.


Tencent Holdings's Shiller PE Ratio Distribution in the Interactive Media Industry

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

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



Tencent Holdings 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.

Tencent Holdings's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=52.78/1.79
=29.49

* 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.

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

For example, Tencent Holdings'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)
=0.798/115.7848*115.7848
=0.798

Current CPI (Sep. 2024) = 115.7848.

Tencent Holdings Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201412 0.101 99.000 0.118
201503 0.117 99.900 0.136
201506 0.125 99.500 0.145
201509 0.124 100.500 0.143
201512 0.117 100.600 0.135
201603 0.149 102.200 0.169
201606 0.172 101.400 0.196
201609 0.168 102.400 0.190
201612 0.160 102.600 0.181
201703 0.221 103.200 0.248
201706 0.281 103.100 0.316
201709 0.287 104.100 0.319
201712 0.330 104.500 0.366
201803 0.385 105.300 0.423
201806 0.289 104.900 0.319
201809 0.356 106.600 0.387
201812 0.216 106.500 0.235
201903 0.424 107.700 0.456
201906 0.365 107.700 0.392
201909 0.299 109.800 0.315
201912 0.308 111.200 0.321
202003 0.427 112.300 0.440
202006 0.485 110.400 0.509
202009 0.582 111.700 0.603
202012 0.936 111.500 0.972
202103 0.755 112.662 0.776
202106 0.683 111.769 0.708
202109 0.631 112.215 0.651
202112 1.547 113.108 1.584
202203 0.379 114.335 0.384
202206 0.286 114.558 0.289
202209 0.585 115.339 0.587
202212 1.570 115.116 1.579
202303 0.383 115.116 0.385
202306 0.376 114.558 0.380
202309 0.514 115.339 0.516
202312 0.394 114.781 0.397
202403 0.609 115.227 0.612
202406 0.688 114.781 0.694
202409 0.798 115.785 0.798

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.


Tencent Holdings  (OTCPK:TCEHY) 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.


Tencent Holdings Shiller PE Ratio Related Terms

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


Tencent Holdings Business Description

Address
No. 33 Haitian 2nd Road, Tencent Binhai Towers, Nanshan District, Shenzhen, CHN, 518054
Tencent holds a prominent position in China's internet sector, with a diverse portfolio of products and services used daily by a significant portion of the population. The company is the world's largest video game publisher and owns Honor of Kings, a top-grossing mobile game globally. Tencent also operates WeChat, China's largest social media super app, which has become deeply integrated into the daily lives of Chinese people for communication, entertainment, shopping, and more. Beyond its offerings, Tencent is a significant player in global venture capital and investment. The company holds substantial stakes in leading tech companies, including PDD, Kuaishou, and Epic Games.