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London Stock Exchange Group (LSE:LSEG) Cyclically Adjusted PS Ratio : 10.25 (As of May. 15, 2024)


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What is London Stock Exchange Group Cyclically Adjusted PS Ratio?

As of today (2024-05-15), London Stock Exchange Group's current share price is £90.48. London Stock Exchange Group's Cyclically Adjusted Revenue per Share for the fiscal year that ended in Dec23 was £8.83. London Stock Exchange Group's Cyclically Adjusted PS Ratio for today is 10.25.

The historical rank and industry rank for London Stock Exchange Group's Cyclically Adjusted PS Ratio or its related term are showing as below:

LSE:LSEG' s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 5.93   Med: 11.46   Max: 21.19
Current: 10.3

During the past 13 years, London Stock Exchange Group's highest Cyclically Adjusted PS Ratio was 21.19. The lowest was 5.93. And the median was 11.46.

LSE:LSEG's Cyclically Adjusted PS Ratio is ranked worse than
82.24% of 580 companies
in the Capital Markets industry
Industry Median: 3.115 vs LSE:LSEG: 10.30

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

London Stock Exchange Group's adjusted revenue per share data of for the fiscal year that ended in Dec23 was £15.207. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is £8.83 for the trailing ten years ended in Dec23.

Shiller PE for Stocks: The True Measure of Stock Valuation


London Stock Exchange Group Cyclically Adjusted PS Ratio Historical Data

The historical data trend for London Stock Exchange Group's Cyclically Adjusted PS 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.

London Stock Exchange Group Cyclically Adjusted PS Ratio Chart

London Stock Exchange Group Annual Data
Trend Mar14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 17.85 19.21 11.86 9.63 10.50

London Stock Exchange Group Semi-Annual Data
Mar14 Sep14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
Cyclically Adjusted PS 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 11.86 - 9.63 - 10.50

Competitive Comparison of London Stock Exchange Group's Cyclically Adjusted PS Ratio

For the Financial Data & Stock Exchanges subindustry, London Stock Exchange Group's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS 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.


London Stock Exchange Group's Cyclically Adjusted PS Ratio Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, London Stock Exchange Group's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where London Stock Exchange Group's Cyclically Adjusted PS Ratio falls into.



London Stock Exchange Group Cyclically Adjusted PS Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.

London Stock Exchange Group's Cyclically Adjusted PS Ratio for today is calculated as

Cyclically Adjusted PS Ratio=Share Price/ Cyclically Adjusted Revenue per Share
=90.48/8.83
=10.25

* 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.

London Stock Exchange Group's Cyclically Adjusted Revenue per Share for the fiscal year that ended in Dec23 is calculated as:

For example, London Stock Exchange Group's adjusted Revenue per Share data for the fiscal year that ended in Dec23 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Dec23 (Change)*Current CPI (Dec23)
=15.207/130.0000*130.0000
=15.207

Current CPI (Dec23) = 130.0000.

London Stock Exchange Group Annual Data

Revenue per Share CPI Adj_RevenuePerShare
201403 4.014 99.300 5.255
201512 4.006 100.400 5.187
201612 4.607 102.200 5.860
201712 5.467 105.000 6.769
201812 6.031 107.100 7.321
201912 6.547 108.500 7.844
202012 5.732 109.400 6.811
202112 12.079 114.700 13.690
202212 13.827 125.300 14.346
202312 15.207 130.000 15.207

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.

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.


London Stock Exchange Group  (LSE:LSEG) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.


London Stock Exchange Group Cyclically Adjusted PS Ratio Related Terms

Thank you for viewing the detailed overview of London Stock Exchange Group's Cyclically Adjusted PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


London Stock Exchange Group (LSE:LSEG) Business Description

Traded in Other Exchanges
Address
10 Paternoster Square, London, GBR, EC4M 7LS
London Stock Exchange Group is a fully integrated financial exchange company covering the financial market value chain from primary and secondary markets across multiple asset classes over data, index and analytics down to clearing and post-trading reporting. With the acquisition of Refinitiv, LSEG generates about two thirds of its revenue from data and analytics including its FTSE Russell and WM/Refinitiv benchmarks as well as data feeds and terminals. The group is also a majority shareholder in Tradeweb, one of the dominant global fixed income trading venues, as well as LCH, the largest clearing house for over-the-counter swaps globally.

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