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NVR (FRA:NVE) Shiller PE Ratio : 29.89 (As of May. 06, 2024)


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What is NVR Shiller PE Ratio?

As of today (2024-05-06), NVR's current share price is €6950.00. NVR's E10 for the quarter that ended in Dec. 2023 was €232.53. NVR's Shiller PE Ratio for today is 29.89.

The historical rank and industry rank for NVR's Shiller PE Ratio or its related term are showing as below:

FRA:NVE' s Shiller PE Ratio Range Over the Past 10 Years
Min: 15.55   Med: 31.32   Max: 60.83
Current: 29.13

During the past years, NVR's highest Shiller PE Ratio was 60.83. The lowest was 15.55. And the median was 31.32.

FRA:NVE's Shiller PE Ratio is ranked worse than
89.86% of 69 companies
in the Homebuilding & Construction industry
Industry Median: 11.76 vs FRA:NVE: 29.13

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.

NVR's adjusted earnings per share data for the three months ended in Dec. 2023 was €111.471. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is €232.53 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


NVR Shiller PE Ratio Historical Data

The historical data trend for NVR'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.

NVR Shiller PE Ratio Chart

NVR Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Shiller PE Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 38.10 33.89 37.22 21.54 26.88

NVR Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 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 24.57 26.50 23.67 26.88 -

Competitive Comparison of NVR's Shiller PE Ratio

For the Residential Construction subindustry, NVR'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.


NVR's Shiller PE Ratio Distribution in the Homebuilding & Construction Industry

For the Homebuilding & Construction industry and Consumer Cyclical sector, NVR's Shiller PE Ratio distribution charts can be found below:

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



NVR 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.

NVR's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=6950.00/232.53
=29.89

* 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.

NVR's E10 for the quarter that ended in Dec. 2023 is calculated as:

For example, NVR's adjusted earnings per share data for the three months ended in Dec. 2023 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=111.471/129.4194*129.4194
=111.471

Current CPI (Dec. 2023) = 129.4194.

NVR Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201403 3.731 99.695 4.843
201406 11.165 100.560 14.369
201409 16.063 100.428 20.700
201412 18.848 99.070 24.622
201503 8.519 99.621 11.067
201506 19.522 100.684 25.094
201509 24.155 100.392 31.139
201512 29.303 99.792 38.003
201603 14.179 100.470 18.264
201606 19.589 101.688 24.931
201609 25.358 101.861 32.219
201612 35.834 101.863 45.528
201703 23.487 102.862 29.551
201706 31.319 103.349 39.219
201709 31.899 104.136 39.644
201712 24.404 104.011 30.366
201803 31.905 105.290 39.217
201806 41.987 106.317 51.111
201809 41.376 106.507 50.277
201812 51.483 105.998 62.859
201903 42.161 107.251 50.876
201906 46.985 108.070 56.267
201909 50.948 108.329 60.867
201912 57.969 108.420 69.197
202003 40.689 108.902 48.355
202006 37.740 108.767 44.906
202009 55.278 109.815 65.146
202012 63.236 109.897 74.470
202103 53.096 111.754 61.489
202106 68.434 114.631 77.262
202109 73.474 115.734 82.162
202112 78.845 117.630 86.748
202203 105.836 121.301 112.919
202206 116.973 125.017 121.092
202209 119.695 125.227 123.703
202212 125.967 125.222 130.190
202303 93.297 127.348 94.815
202306 107.566 128.729 108.143
202309 117.369 129.860 116.971
202312 111.471 129.419 111.471

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.


NVR  (FRA:NVE) 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.


NVR Shiller PE Ratio Related Terms

Thank you for viewing the detailed overview of NVR's Shiller PE Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


NVR (FRA:NVE) Business Description

Traded in Other Exchanges
Address
11700 Plaza America Drive, Suite 500, Reston, VA, USA, 20190
NVR Inc is a United States-based homebuilding company operating in over 33 metropolitan areas across the east of the Mississippi River. The company builds single-family detached homes, townhomes, and condominium buildings under three brands, Ryan Homes, NVHomes, and Heartland Homes. NVR's avoidance of direct land development activity is unique among public homebuilders and results in relatively outsize return metrics. The Virginia-based company also manages mortgage banking segment and homebuilding operating segments. The homebuilding segment includes four geographic areas; Mid-Atlantic, North East, Mid-East, and South East.

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