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Shell (SHEL) Cyclically Adjusted PS Ratio : 0.78 (As of Apr. 27, 2024)


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What is Shell Cyclically Adjusted PS Ratio?

As of today (2024-04-27), Shell's current share price is $73.27. Shell's Cyclically Adjusted Revenue per Share for the quarter that ended in Dec. 2023 was $94.22. Shell's Cyclically Adjusted PS Ratio for today is 0.78.

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

SHEL' s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 0.24   Med: 0.56   Max: 0.8
Current: 0.79

During the past years, Shell's highest Cyclically Adjusted PS Ratio was 0.80. The lowest was 0.24. And the median was 0.56.

SHEL's Cyclically Adjusted PS Ratio is ranked better than
55.04% of 754 companies
in the Oil & Gas industry
Industry Median: 0.895 vs SHEL: 0.79

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.

Shell's adjusted revenue per share data for the three months ended in Dec. 2023 was $23.753. 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 $94.22 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


Shell Cyclically Adjusted PS Ratio Historical Data

The historical data trend for Shell'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.

Shell Cyclically Adjusted PS Ratio Chart

Shell 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 0.56 0.35 0.45 0.62 0.70

Shell Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 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 0.62 0.61 0.62 0.70 0.70

Competitive Comparison of Shell's Cyclically Adjusted PS Ratio

For the Oil & Gas Integrated subindustry, Shell'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.


Shell's Cyclically Adjusted PS Ratio Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Shell's Cyclically Adjusted PS Ratio distribution charts can be found below:

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



Shell 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.

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

Cyclically Adjusted PS Ratio=Share Price/ Cyclically Adjusted Revenue per Share
=73.27/94.22
=0.78

* 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.

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

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

Adj_RevenuePerShare=Revenue per Share/CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=23.753/130.0000*130.0000
=23.753

Current CPI (Dec. 2023) = 130.0000.

Shell Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201403 34.874 99.300 45.656
201406 35.178 99.800 45.823
201409 34.054 100.000 44.270
201412 29.320 99.900 38.154
201503 20.607 99.600 26.897
201506 22.683 100.100 29.458
201509 21.481 100.200 27.870
201512 18.125 100.400 23.469
201603 13.431 100.400 17.391
201606 14.507 101.000 18.672
201609 15.258 101.500 19.542
201612 15.855 102.200 20.168
201703 17.462 102.700 22.104
201706 17.397 103.500 21.851
201709 18.218 104.300 22.707
201712 20.448 105.000 25.317
201803 21.304 105.100 26.351
201806 23.105 105.900 28.363
201809 23.979 106.600 29.243
201812 24.665 107.100 29.939
201903 20.397 107.000 24.781
201906 22.209 107.900 26.758
201909 21.467 108.400 25.745
201912 21.100 108.500 25.281
202003 15.353 108.600 18.378
202006 8.345 108.800 9.971
202009 11.253 109.200 13.396
202012 11.302 109.400 13.430
202103 14.214 109.700 16.844
202106 15.446 111.400 18.025
202109 15.449 112.400 17.868
202112 22.026 114.700 24.964
202203 21.981 116.500 24.528
202206 26.617 120.500 28.715
202209 26.085 122.300 27.727
202212 28.439 125.300 29.506
202303 24.909 126.800 25.538
202306 21.761 129.400 21.862
202309 22.667 130.100 22.650
202312 23.753 130.000 23.753

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.


Shell  (NYSE:SHEL) 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.


Shell Cyclically Adjusted PS Ratio Related Terms

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


Shell (SHEL) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Energy » Oil & Gas » Shell PLC (NYSE:SHEL) » Definitions » Cyclically Adjusted PS Ratio
Address
Shell Centre, London, GBR, SE1 7NA
Shell is an integrated oil and gas company that explores for, produces, and refines oil around the world. In 2022, it produced 1.5 million barrels of liquids and 7.9 billion cubic feet of natural gas per day. At year-end 2022, reserves stood at 9.4 billion barrels of oil equivalent, 50% of which consisted of liquids. Its production and reserves are in Europe, Asia, Oceania, Africa, and North and South America. The company operates refineries with capacity of 1.7 mmb/d located in the Americas, Asia, Africa, and Europe and sells 12 million tons per year of chemicals. Its largest chemical plants, often integrated with its local refineries, are in Central Europe, China, Singapore, and North America.

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