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Warner Bros. Discovery (WBO:WBDI) E10 : €0.90 (As of Mar. 2024)


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What is Warner Bros. Discovery 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.

Warner Bros. Discovery's adjusted earnings per share data for the three months ended in Mar. 2024 was €-0.368. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is €0.90 for the trailing ten years ended in Mar. 2024.

During the past 12 months, Warner Bros. Discovery's average E10 Growth Rate was -21.10% per year. During the past 3 years, the average E10 Growth Rate was -11.70% per year. During the past 5 years, the average E10 Growth Rate was -2.10% per year. During the past 10 years, the average E10 Growth Rate was 6.50% 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 Warner Bros. Discovery was 20.60% per year. The lowest was -11.70% per year. And the median was 10.50% per year.

As of today (2024-05-21), Warner Bros. Discovery's current stock price is €7.372. Warner Bros. Discovery's E10 for the quarter that ended in Mar. 2024 was €0.90. Warner Bros. Discovery's Shiller PE Ratio of today is 8.19.

During the past 13 years, the highest Shiller PE Ratio of Warner Bros. Discovery was 69.91. The lowest was 6.50. And the median was 22.82.


Warner Bros. Discovery E10 Historical Data

The historical data trend for Warner Bros. Discovery'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.

Warner Bros. Discovery E10 Chart

Warner Bros. Discovery 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 1.27 1.21 1.44 3.04 0.96

Warner Bros. Discovery 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 1.82 2.03 2.22 0.96 0.90

Competitive Comparison of Warner Bros. Discovery's E10

For the Entertainment subindustry, Warner Bros. Discovery'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.


Warner Bros. Discovery's Shiller PE Ratio Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Warner Bros. Discovery's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Warner Bros. Discovery's Shiller PE Ratio falls into.



Warner Bros. Discovery 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, Warner Bros. Discovery'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)
=-0.368/131.7762*131.7762
=-0.368

Current CPI (Mar. 2024) = 131.7762.

Warner Bros. Discovery Quarterly Data

per share eps CPI Adj_EPS
201406 0.397 100.560 0.520
201409 0.318 100.428 0.417
201412 0.308 99.070 0.410
201503 0.342 99.621 0.452
201506 0.392 100.684 0.513
201509 0.383 100.392 0.503
201512 0.312 99.792 0.412
201603 0.377 100.470 0.494
201606 0.587 101.688 0.761
201609 0.321 101.861 0.415
201612 0.493 101.863 0.638
201703 0.346 102.862 0.443
201706 0.570 103.349 0.727
201709 0.319 104.136 0.404
201712 -1.682 104.011 -2.131
201803 -0.008 105.290 -0.010
201806 0.257 106.317 0.319
201809 0.137 106.507 0.170
201812 0.334 105.998 0.415
201903 0.469 107.251 0.576
201906 1.177 108.070 1.435
201909 0.318 108.329 0.387
201912 0.603 108.420 0.733
202003 0.498 108.902 0.603
202006 0.355 108.767 0.430
202009 0.374 109.815 0.449
202012 0.345 109.897 0.414
202103 0.176 111.754 0.208
202106 0.838 114.631 0.963
202109 0.204 115.734 0.232
202112 0.071 117.630 0.080
202203 0.627 121.301 0.681
202206 -1.419 125.017 -1.496
202209 -0.960 125.227 -1.010
202212 -0.774 125.222 -0.815
202303 -0.411 127.348 -0.425
202306 -0.471 128.729 -0.482
202309 -0.159 129.860 -0.161
202312 -0.147 129.419 -0.150
202403 -0.368 131.776 -0.368

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


Warner Bros. Discovery  (WBO:WBDI) 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.

Warner Bros. Discovery's Shiller P/E Ratio of today is calculated as

Shiller PE Ratio=Share Price/E10
=7.372/0.9
=8.19

* 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 Warner Bros. Discovery was 69.91. The lowest was 6.50. And the median was 22.82.


Be Aware

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


Warner Bros. Discovery E10 Related Terms

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


Warner Bros. Discovery (WBO:WBDI) Business Description

Traded in Other Exchanges
Address
230 Park Avenue South, New York, NY, USA, 10003
Warner Bros. Discovery, the result of combining two large media firms, is one of the largest media firms in the world with tremendous scale and reach. The new company owns some of the biggest global networks including HBO, Discovery, CNN, and TLC and well-known franchises like Superman, Rick and Morty, and Game of Thrones. The firm's content production studios include Warner Bros., HBO, Discovery Studios, DC Films, and Cartoon Network Studios. The company operates two major streaming services, Max and Discovery+.

Warner Bros. Discovery (WBO:WBDI) Headlines

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