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Embraer (Embraer) Cyclically Adjusted PS Ratio : 0.93 (As of Apr. 27, 2024)


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What is Embraer Cyclically Adjusted PS Ratio?

As of today (2024-04-27), Embraer's current share price is $25.99. Embraer's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2023 was $27.81. Embraer's Cyclically Adjusted PS Ratio for today is 0.93.

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

ERJ' s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 0.22   Med: 0.72   Max: 1.4
Current: 0.94

During the past years, Embraer's highest Cyclically Adjusted PS Ratio was 1.40. The lowest was 0.22. And the median was 0.72.

ERJ's Cyclically Adjusted PS Ratio is ranked better than
66.35% of 211 companies
in the Aerospace & Defense industry
Industry Median: 1.47 vs ERJ: 0.94

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.

Embraer's adjusted revenue per share data for the three months ended in Mar. 2023 was $4.049. 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 $27.81 for the trailing ten years ended in Mar. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


Embraer Cyclically Adjusted PS Ratio Historical Data

The historical data trend for Embraer'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.

Embraer Cyclically Adjusted PS Ratio Chart

Embraer Annual Data
Trend Dec14 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 0.72 0.30 0.77 0.41 -

Embraer Quarterly Data
Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 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 0.34 0.35 0.41 0.59 -

Competitive Comparison of Embraer's Cyclically Adjusted PS Ratio

For the Aerospace & Defense subindustry, Embraer'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.


Embraer's Cyclically Adjusted PS Ratio Distribution in the Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Embraer's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where Embraer's Cyclically Adjusted PS Ratio falls into.



Embraer 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.

Embraer's Cyclically Adjusted PS Ratio for today is calculated as

Cyclically Adjusted PS Ratio=Share Price/ Cyclically Adjusted Revenue per Share
=25.99/27.81
=0.93

* 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.

Embraer's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2023 is calculated as:

For example, Embraer's adjusted Revenue per Share data for the three months ended in Mar. 2023 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Mar. 2023 (Change)*Current CPI (Mar. 2023)
=4.049/153.3524*153.3524
=4.049

Current CPI (Mar. 2023) = 153.3524.

Embraer Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201306 8.500 86.214 15.119
201309 7.026 86.749 12.420
201312 12.545 88.522 21.733
201403 6.750 90.447 11.445
201406 9.571 91.838 15.982
201409 6.729 92.602 11.144
201412 11.075 94.194 18.031
201503 5.739 97.799 8.999
201506 8.268 100.006 12.678
201509 7.018 101.392 10.615
201512 11.256 104.247 16.558
201603 7.139 106.979 10.234
201606 7.471 108.851 10.525
201609 8.296 109.986 11.567
201612 10.676 110.802 14.776
201703 5.663 111.869 7.763
201706 9.627 112.115 13.168
201709 7.072 112.777 9.616
201712 9.411 114.068 12.652
201803 2.286 114.868 3.052
201806 6.838 117.038 8.960
201809 6.319 117.881 8.220
201812 9.205 118.340 11.928
201903 4.476 120.124 5.714
201906 7.495 120.977 9.501
201909 6.391 121.292 8.080
201912 11.333 123.436 14.080
202003 3.444 124.092 4.256
202006 2.919 123.557 3.623
202009 4.122 125.095 5.053
202012 10.005 129.012 11.893
202103 4.393 131.660 5.117
202106 6.154 133.871 7.050
202109 5.216 137.913 5.800
202112 7.085 141.992 7.652
202203 3.033 146.537 3.174
202206 5.548 149.784 5.680
202209 5.059 147.800 5.249
202212 10.843 150.207 11.070
202303 4.049 153.352 4.049

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.


Embraer  (NYSE:ERJ) 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.


Embraer Cyclically Adjusted PS Ratio Related Terms

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


Embraer (Embraer) Business Description

Address
Avenida Dra. Ruth Cardoso, 8501, 30th Floor, Pinheiros, SP, BRA, 05425-070
Embraer SA based in Sao Paulo, Brazil, Embraer manufactures regional aircraft, business jets, and defense and security products. The company also offers a range of services to support its installed base of hardware. Its defense and security business is currently focused on developing the KC-390 military transport aircraft. The company also produces aircraft systems and structural components. It operates through the following segments: Commercial Aviation; Defense and Security, Executive Aviation, Service and Support, and Other Segments. The company generates maximum revenue from Commercial Aviation segment.