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Westinghouse Air Brake Technologies (LTS:0A7Y) E10 : $3.87 (As of Mar. 2024)


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What is Westinghouse Air Brake Technologies E10?

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller P/E calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

Westinghouse Air Brake Technologies's adjusted earnings per share data for the three months ended in Mar. 2024 was $1.530. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is $3.87 for the trailing ten years ended in Mar. 2024.

During the past 12 months, Westinghouse Air Brake Technologies's average E10 Growth Rate was 4.40% per year. During the past 3 years, the average E10 Growth Rate was 7.20% per year. During the past 5 years, the average E10 Growth Rate was 6.10% per year. During the past 10 years, the average E10 Growth Rate was 8.70% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the E10 growth rate using E10 data.

During the past 13 years, the highest 3-Year average E10 Growth Rate of Westinghouse Air Brake Technologies was 24.20% per year. The lowest was -1.30% per year. And the median was 9.40% per year.

As of today (2024-05-17), Westinghouse Air Brake Technologies's current stock price is $167.2538. Westinghouse Air Brake Technologies's E10 for the quarter that ended in Mar. 2024 was $3.87. Westinghouse Air Brake Technologies's Shiller PE Ratio of today is 43.22.

During the past 13 years, the highest Shiller PE Ratio of Westinghouse Air Brake Technologies was 54.77. The lowest was 13.86. And the median was 30.11.


Westinghouse Air Brake Technologies E10 Historical Data

The historical data trend for Westinghouse Air Brake Technologies's E10 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.

Westinghouse Air Brake Technologies E10 Chart

Westinghouse Air Brake Technologies Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
E10
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - 3.32 3.56 3.75

Westinghouse Air Brake Technologies Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
E10 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 3.61 3.68 3.78 3.75 3.87

Competitive Comparison of Westinghouse Air Brake Technologies's E10

For the Railroads subindustry, Westinghouse Air Brake Technologies'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.


Westinghouse Air Brake Technologies's Shiller PE Ratio Distribution in the Transportation Industry

For the Transportation industry and Industrials sector, Westinghouse Air Brake Technologies's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Westinghouse Air Brake Technologies's Shiller PE Ratio falls into.



Westinghouse Air Brake Technologies E10 Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller P/E calculation. When we calculate the today's Shiller P/E ratio of a stock, we use today's price divided by E10.

What is E10? How do we calculate E10?

E10 is the average of the inflation adjusted earnings of a company over the past 10 years. Let's use an example to explain.

If we want to calculate the E10 of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the earnings from 2001 through 2010.

We adjusted the earnings of 2001 earnings data with the total inflation from 2001 through 2010 to the equivalent earnings in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart earned $1 a share in 2001, then the 2001's equivalent earnings in 2010 is $1.4 a share. If Wal-Mart earns $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 earnings in 2010 is $1.35. So on and so forth, you get the equivalent earnings of past 10 years. Then you add them together and divided the sum by 10 to get 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.

For example, Westinghouse Air Brake Technologies's adjusted earnings per share data for the three months ended in Mar. 2024 was:

Adj_EPS= Earnings per Share (Diluted) /CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=1.53/131.7762*131.7762
=1.530

Current CPI (Mar. 2024) = 131.7762.

Westinghouse Air Brake Technologies Quarterly Data

per share eps CPI Adj_EPS
201406 0.910 100.560 1.192
201409 0.930 100.428 1.220
201412 0.950 99.070 1.264
201503 0.990 99.621 1.310
201506 1.040 100.684 1.361
201509 1.020 100.392 1.339
201512 1.050 99.792 1.387
201603 1.020 100.470 1.338
201606 1.000 101.688 1.296
201609 0.910 101.861 1.177
201612 0.420 101.863 0.543
201703 0.770 102.862 0.986
201706 0.750 103.349 0.956
201709 0.700 104.136 0.886
201712 0.510 104.011 0.646
201803 0.920 105.290 1.151
201806 0.870 106.317 1.078
201809 0.910 106.507 1.126
201812 0.360 105.998 0.448
201903 -0.040 107.251 -0.049
201906 0.540 108.070 0.658
201909 0.480 108.329 0.584
201912 0.710 108.420 0.863
202003 0.580 108.902 0.702
202006 0.460 108.767 0.557
202009 0.670 109.815 0.804
202012 0.460 109.897 0.552
202103 0.590 111.754 0.696
202106 0.660 114.631 0.759
202109 0.690 115.734 0.786
202112 1.020 117.630 1.143
202203 0.800 121.301 0.869
202206 0.910 125.017 0.959
202209 0.880 125.227 0.926
202212 0.860 125.222 0.905
202303 0.930 127.348 0.962
202306 1.060 128.729 1.085
202309 1.330 129.860 1.350
202312 1.200 129.419 1.222
202403 1.530 131.776 1.530

Add all the adjusted EPS together and divide 10 will get our e10.


Westinghouse Air Brake Technologies  (LTS:0A7Y) E10 Explanation

If a company grows much fast than inflation, E10 may underestimate the company's earnings power. Shiller PE Ratio can seem to be too high even the actual P/E is low.

For the Shiller P/E, 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 P/E is also called PE10.

The Shiller P/E was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

Westinghouse Air Brake Technologies's Shiller P/E Ratio of today is calculated as

Shiller PE Ratio=Share Price/E10
=167.2538/3.87
=43.22

* 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.

During the past 13 years, the highest Shiller P/E Ratio of Westinghouse Air Brake Technologies was 54.77. The lowest was 13.86. And the median was 30.11.


Be Aware

Shiller PE Ratio works better for cyclical companies. It gives you a better idea on the company's real earnings power.


Westinghouse Air Brake Technologies E10 Related Terms

Thank you for viewing the detailed overview of Westinghouse Air Brake Technologies's E10 provided by GuruFocus.com. Please click on the following links to see related term pages.


Westinghouse Air Brake Technologies (LTS:0A7Y) Business Description

Traded in Other Exchanges
Address
30 Isabella Street, Pittsburgh, PA, USA, 15212
Westinghouse Air Brake Technologies Corp is a provider of value-added, technology-based products and services for the rail industry. It provides its products and services through two main business segments, Freight and Transit. The company generates maximum revenue from the Freight segment.

Westinghouse Air Brake Technologies (LTS:0A7Y) Headlines

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