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Mahindra & Mahindra (NSE:M&M) Shiller PE Ratio : 42.70 (As of May. 08, 2024)


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What is Mahindra & Mahindra Shiller PE Ratio?

As of today (2024-05-08), Mahindra & Mahindra's current share price is ₹2191.50. Mahindra & Mahindra's E10 for the fiscal year that ended in Mar23 was ₹51.32. Mahindra & Mahindra's Shiller PE Ratio for today is 42.70.

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

NSE:M&M' s Shiller PE Ratio Range Over the Past 10 Years
Min: 6.61   Med: 20.47   Max: 42.73
Current: 42.73

During the past 13 years, Mahindra & Mahindra's highest Shiller PE Ratio was 42.73. The lowest was 6.61. And the median was 20.47.

NSE:M&M's Shiller PE Ratio is ranked worse than
79.37% of 824 companies
in the Vehicles & Parts industry
Industry Median: 17.985 vs NSE:M&M: 42.73

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.

Mahindra & Mahindra's adjusted earnings per share data of for the fiscal year that ended in Mar23 was ₹91.960. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is ₹51.32 for the trailing ten years ended in Mar23.

Shiller PE for Stocks: The True Measure of Stock Valuation


Mahindra & Mahindra Shiller PE Ratio Historical Data

The historical data trend for Mahindra & Mahindra'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.

Mahindra & Mahindra Shiller PE Ratio Chart

Mahindra & Mahindra Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Shiller PE Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 15.32 6.71 19.07 17.84 22.58

Mahindra & Mahindra Semi-Annual Data
Mar14 Sep14 Mar15 Sep15 Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23
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 - 17.84 - 22.58 -

Competitive Comparison of Mahindra & Mahindra's Shiller PE Ratio

For the Auto Manufacturers subindustry, Mahindra & Mahindra'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.


Mahindra & Mahindra's Shiller PE Ratio Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Mahindra & Mahindra's Shiller PE Ratio distribution charts can be found below:

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



Mahindra & Mahindra 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.

Mahindra & Mahindra's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=2191.50/51.32
=42.70

* 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.

Mahindra & Mahindra's E10 for the fiscal year that ended in Mar23 is calculated as:

For example, Mahindra & Mahindra's adjusted earnings per share data for the fiscal year that ended in Mar23 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Mar23 (Change)*Current CPI (Mar23)
=91.96/146.8646*146.8646
=91.960

Current CPI (Mar23) = 146.8646.

Mahindra & Mahindra Annual Data

Earnings per Share (Diluted) CPI Adj_EPS
201403 37.915 91.425 60.907
201503 25.345 97.163 38.310
201603 28.245 102.518 40.463
201703 33.980 105.196 47.440
201803 68.860 109.786 92.116
201903 48.700 118.202 60.509
202003 1.040 124.705 1.225
202103 16.150 131.771 18.000
202203 58.830 138.822 62.238
202303 91.960 146.865 91.960

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.


Mahindra & Mahindra  (NSE:M&M) 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.


Mahindra & Mahindra Shiller PE Ratio Related Terms

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Mahindra & Mahindra (NSE:M&M) Business Description

Address
Dr. G. M. Bhosale Marg, Mahindra Towers, 5th Floor, Worli, Mumbai, MH, IND, 400 018
Mahindra & Mahindra Ltd is a holding company. The company's segment includes Automotive; Farm Equipment and others. It generates maximum revenue from the Automotive segment. The Automotive segment comprises of sale of automobiles, spares, mobility solutions, construction equipments, and related services. Geographically, it derives a majority of revenue from India.

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