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HDFC Life Insurance Company Limited (BOM:540777) Shiller PE Ratio : 75.44 (As of May. 10, 2024)


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What is HDFC Life Insurance Company Limited Shiller PE Ratio?

As of today (2024-05-10), HDFC Life Insurance Company Limited's current share price is ₹539.40. HDFC Life Insurance Company Limited's E10 for the fiscal year that ended in Mar24 was ₹7.15. HDFC Life Insurance Company Limited's Shiller PE Ratio for today is 75.44.

The historical rank and industry rank for HDFC Life Insurance Company Limited's Shiller PE Ratio or its related term are showing as below:

BOM:540777' s Shiller PE Ratio Range Over the Past 10 Years
Min: 74.2   Med: 87.26   Max: 98.65
Current: 75.49

During the past 12 years, HDFC Life Insurance Company Limited's highest Shiller PE Ratio was 98.65. The lowest was 74.20. And the median was 87.26.

BOM:540777's Shiller PE Ratio is ranked worse than
96.13% of 362 companies
in the Insurance industry
Industry Median: 13.345 vs BOM:540777: 75.49

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

HDFC Life Insurance Company Limited's adjusted earnings per share data of for the fiscal year that ended in Mar24 was ₹7.310. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is ₹7.15 for the trailing ten years ended in Mar24.

Shiller PE for Stocks: The True Measure of Stock Valuation


HDFC Life Insurance Company Limited Shiller PE Ratio Historical Data

The historical data trend for HDFC Life Insurance Company Limited's Shiller PE 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.

HDFC Life Insurance Company Limited Shiller PE Ratio Chart

HDFC Life Insurance Company Limited Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Shiller PE Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - 88.05 74.23 88.59

HDFC Life Insurance Company Limited Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Dec23 Mar24
Shiller PE 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 - 74.23 - - 88.59

Competitive Comparison of HDFC Life Insurance Company Limited's Shiller PE Ratio

For the Insurance - Life subindustry, HDFC Life Insurance Company Limited'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.


HDFC Life Insurance Company Limited's Shiller PE Ratio Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, HDFC Life Insurance Company Limited's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where HDFC Life Insurance Company Limited's Shiller PE Ratio falls into.



HDFC Life Insurance Company Limited Shiller PE Ratio Calculation

For Shiller PE Ratio, 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 PE Ratio is also called PE10.

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

HDFC Life Insurance Company Limited's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=539.40/7.15
=75.44

* 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.

HDFC Life Insurance Company Limited's E10 for the fiscal year that ended in Mar24 is calculated as:

For example, HDFC Life Insurance Company Limited's adjusted earnings per share data for the fiscal year that ended in Mar24 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Mar24 (Change)*Current CPI (Mar24)
=7.31/153.2548*153.2548
=7.310

Current CPI (Mar24) = 153.2548.

HDFC Life Insurance Company Limited Annual Data

Earnings per Share (Diluted) CPI Adj_EPS
201503 3.910 97.163 6.167
201603 4.066 102.518 6.078
201703 4.440 105.196 6.468
201803 5.490 109.786 7.664
201903 6.330 118.202 8.207
202003 6.420 124.705 7.890
202103 6.730 131.771 7.827
202203 6.480 138.822 7.154
202303 6.410 146.865 6.689
202403 7.310 153.255 7.310

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


HDFC Life Insurance Company Limited  (BOM:540777) Shiller PE Ratio Explanation

Compared with the regular PE Ratio, which works poorly for cyclical businesses, the Shiller PE Ratio smoothed out the fluctuations of profit margins during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Shiller PE Ratio should give similar results to regular PE Ratio.

Compared with the PS Ratio, the Shiller PE Ratio makes the comparison between different industries more meaningful.


Be Aware

Shiller PE Ratio assumes that over the long term, businesses and profitability revert to their means. If a company's business model does not work in the future compared with the past, Shiller PE Ratio and PS Ratio will give false valuations.


HDFC Life Insurance Company Limited Shiller PE Ratio Related Terms

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HDFC Life Insurance Company Limited (BOM:540777) Business Description

Traded in Other Exchanges
Address
N.M. Joshi Marg, 13th Floor, Lodha Excelus, Apollo Mills Compound, Mahalaxmi, Mumbai, MH, IND, 400 011
HDFC Life Insurance Company Limited is a long-term life insurance company. It offers individual and group insurance solutions such as Protection, Pension, Savings and Investment, and Health, along with Children's and Women's Plans. The company operates through segments namely, Participating Life (Individual & Group), Participating Pension (Individual & Group), Non-Participating Life (Individual & Group), Non-Participating Pension (Individual & Group), Non-Participating Life Group Variable, Non-Participating Pension Group Variable, Non-Participating - Annuity, Non Participating - Individual & Group Health, Unit Linked - Individual Life, Unit Linked - Individual Pension, Unit Linked - Group Life and Unit Linked - Group Pension.

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