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Lafarge Africa (NSA:WAPCO) E10 : ₦3.37 (As of Mar. 2024)


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What is Lafarge Africa 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.

Lafarge Africa's adjusted earnings per share data for the three months ended in Mar. 2024 was ₦0.320. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is ₦3.37 for the trailing ten years ended in Mar. 2024.

During the past 12 months, Lafarge Africa's average E10 Growth Rate was -24.90% 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.

As of today (2024-05-28), Lafarge Africa's current stock price is ₦35.00. Lafarge Africa's E10 for the quarter that ended in Mar. 2024 was ₦3.37. Lafarge Africa's Shiller PE Ratio of today is 10.39.

During the past 13 years, the highest Shiller PE Ratio of Lafarge Africa was 11.01. The lowest was 4.76. And the median was 5.78.


Lafarge Africa E10 Historical Data

The historical data trend for Lafarge Africa'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.

Lafarge Africa E10 Chart

Lafarge Africa 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 - - 4.44 4.41 4.27

Lafarge Africa 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 4.49 4.51 4.36 4.27 3.37

Competitive Comparison of Lafarge Africa's E10

For the Building Materials subindustry, Lafarge Africa'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.


Lafarge Africa's Shiller PE Ratio Distribution in the Building Materials Industry

For the Building Materials industry and Basic Materials sector, Lafarge Africa's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Lafarge Africa's Shiller PE Ratio falls into.



Lafarge Africa 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, Lafarge Africa'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)
=0.32/131.7762*131.7762
=0.320

Current CPI (Mar. 2024) = 131.7762.

Lafarge Africa Quarterly Data

per share eps CPI Adj_EPS
201403 2.080 99.695 2.749
201406 1.694 100.560 2.220
201409 2.204 100.428 2.892
201412 0.440 99.070 0.585
201503 2.009 99.621 2.657
201506 2.848 100.684 3.727
201509 1.291 100.392 1.695
201512 -2.561 99.792 -3.382
201606 0.000 101.688 0.000
201609 -0.896 101.861 -1.159
201612 6.760 101.863 8.745
201703 0.646 102.862 0.828
201706 2.680 103.349 3.417
201709 -3.477 104.136 -4.400
201712 -6.467 104.011 -8.193
201803 -0.230 105.290 -0.288
201806 -0.220 106.317 -0.273
201809 -0.750 106.507 -0.928
201812 0.146 105.998 0.182
201903 0.200 107.251 0.246
201906 0.360 108.070 0.439
201909 6.900 108.329 8.393
201912 -0.314 108.420 -0.382
202003 0.500 108.902 0.605
202006 0.950 108.767 1.151
202009 0.300 109.815 0.360
202012 0.160 109.897 0.192
202103 0.570 111.754 0.672
202106 1.190 114.631 1.368
202109 0.750 115.734 0.854
202112 0.659 117.630 0.738
202203 1.090 121.301 1.184
202206 1.230 125.017 1.297
202209 0.460 125.227 0.484
202212 0.540 125.222 0.568
202303 0.930 127.348 0.962
202306 1.270 128.729 1.300
202309 0.240 129.860 0.244
202312 0.730 129.419 0.743
202403 0.320 131.776 0.320

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


Lafarge Africa  (NSA:WAPCO) 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.

Lafarge Africa's Shiller P/E Ratio of today is calculated as

Shiller PE Ratio=Share Price/E10
=35.00/3.37
=10.39

* 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 Lafarge Africa was 11.01. The lowest was 4.76. And the median was 5.78.


Be Aware

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


Lafarge Africa E10 Related Terms

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


Lafarge Africa (NSA:WAPCO) Business Description

Traded in Other Exchanges
N/A
Address
No. 27B, Gerrard Road, Ikoyi, Lagos, NGA
Lafarge Africa PLC through its subsidiaries is engaged in the manufacturing and marketing of cement, concrete, and aggregates products, including the provision of building solutions. Its products include Ashakacem, UniCem, Elephant cement, Lafarge Powermax, RoadCem, and Supaset cement among others. It has operations in South Africa and Nigeria generating a vast majority of its revenues within Nigeria from the sales of Cement. It has two segments Cement & Readymixed products. The majority is from the cement segment.

Lafarge Africa (NSA:WAPCO) Headlines

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