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LGI Homes (STU:LG1) Shiller PE Ratio : 11.12 (As of May. 22, 2024)


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What is LGI Homes Shiller PE Ratio?

As of today (2024-05-22), LGI Homes's current share price is €91.50. LGI Homes's E10 for the quarter that ended in Mar. 2024 was €8.23. LGI Homes's Shiller PE Ratio for today is 11.12.

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

STU:LG1' s Shiller PE Ratio Range Over the Past 10 Years
Min: 10.03   Med: 13.62   Max: 23.44
Current: 11.41

During the past years, LGI Homes's highest Shiller PE Ratio was 23.44. The lowest was 10.03. And the median was 13.62.

STU:LG1's Shiller PE Ratio is ranked better than
55.71% of 70 companies
in the Homebuilding & Construction industry
Industry Median: 11.705 vs STU:LG1: 11.41

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.

LGI Homes's adjusted earnings per share data for the three months ended in Mar. 2024 was €0.662. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is €8.23 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


LGI Homes Shiller PE Ratio Historical Data

The historical data trend for LGI Homes'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.

LGI Homes Shiller PE Ratio Chart

LGI Homes 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 - - 23.45 11.65 15.06

LGI Homes 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 13.99 16.10 11.44 15.06 12.87

Competitive Comparison of LGI Homes's Shiller PE Ratio

For the Residential Construction subindustry, LGI Homes'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.


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

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

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



LGI Homes 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.

LGI Homes's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=91.50/8.23
=11.12

* 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.

LGI Homes's E10 for the quarter that ended in Mar. 2024 is calculated as:

For example, LGI Homes'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)
=0.662/131.7762*131.7762
=0.662

Current CPI (Mar. 2024) = 131.7762.

LGI Homes Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201406 0.316 100.560 0.414
201409 0.264 100.428 0.346
201412 0.276 99.070 0.367
201503 0.305 99.621 0.403
201506 0.588 100.684 0.770
201509 0.677 100.392 0.889
201512 0.689 99.792 0.910
201603 0.512 100.470 0.672
201606 0.854 101.688 1.107
201609 0.766 101.861 0.991
201612 0.957 101.863 1.238
201703 0.486 102.862 0.623
201706 1.237 103.349 1.577
201709 1.175 104.136 1.487
201712 1.208 104.011 1.530
201803 0.892 105.290 1.116
201806 1.626 106.317 2.015
201809 1.303 106.507 1.612
201812 1.512 105.998 1.880
201903 0.646 107.251 0.794
201906 1.611 108.070 1.964
201909 1.752 108.329 2.131
201912 2.268 108.420 2.757
202003 1.511 108.902 1.828
202006 1.962 108.767 2.377
202009 2.988 109.815 3.586
202012 4.389 109.897 5.263
202103 3.318 111.754 3.912
202106 3.909 114.631 4.494
202109 3.443 115.734 3.920
202112 4.009 117.630 4.491
202203 2.951 121.301 3.206
202206 4.919 125.017 5.185
202209 3.889 125.227 4.092
202212 1.369 125.222 1.441
202303 1.065 127.348 1.102
202306 2.077 128.729 2.126
202309 2.661 129.860 2.700
202312 2.008 129.419 2.045
202403 0.662 131.776 0.662

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.


LGI Homes  (STU:LG1) 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.


LGI Homes Shiller PE Ratio Related Terms

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


LGI Homes (STU:LG1) Business Description

Traded in Other Exchanges
Address
1450 Lake Robbins Drive, Suite 430, The Woodlands, TX, USA, 77380
LGI Homes Inc is engaged in the design, construction, and sale of new homes in markets. The company current product offerings include entry-level homes, including both detached homes and townhomes, and move-up homes sold, which are sold under LGI Homes brand, and luxury series homes, which are sold under the Terrata Homes brand. It offers a set number of floor plans in each community with features that include upgrades, such as granite countertops, appliances, and ceramic tile flooring.

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