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LG Electronics (WBO:LGLG) Shiller PE Ratio : 19.29 (As of May. 18, 2024)


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What is LG Electronics Shiller PE Ratio?

As of today (2024-05-18), LG Electronics's current share price is €9.45. LG Electronics's E10 for the quarter that ended in Dec. 2023 was €0.49. LG Electronics's Shiller PE Ratio for today is 19.29.

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

WBO:LGLG' s Shiller PE Ratio Range Over the Past 10 Years
Min: 13.64   Med: 20.42   Max: 59.37
Current: 18.73

During the past years, LG Electronics's highest Shiller PE Ratio was 59.37. The lowest was 13.64. And the median was 20.42.

WBO:LGLG's Shiller PE Ratio is ranked better than
63.2% of 1383 companies
in the Hardware industry
Industry Median: 24.4 vs WBO:LGLG: 18.73

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.

LG Electronics's adjusted earnings per share data for the three months ended in Dec. 2023 was €-0.598. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is €0.49 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


LG Electronics Shiller PE Ratio Historical Data

The historical data trend for LG Electronics'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.

LG Electronics Shiller PE Ratio Chart

LG Electronics 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 26.37 45.16 34.39 17.88 19.30

LG Electronics Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 17.88 22.43 24.51 18.64 19.30

Competitive Comparison of LG Electronics's Shiller PE Ratio

For the Consumer Electronics subindustry, LG Electronics'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.


LG Electronics's Shiller PE Ratio Distribution in the Hardware Industry

For the Hardware industry and Technology sector, LG Electronics's Shiller PE Ratio distribution charts can be found below:

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



LG Electronics 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.

LG Electronics's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=9.45/0.49
=19.29

* 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.

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

For example, LG Electronics'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)
=-0.598/118.8477*118.8477
=-0.598

Current CPI (Dec. 2023) = 118.8477.

LG Electronics Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201403 0.140 99.253 0.168
201406 0.740 99.353 0.885
201409 0.332 99.608 0.396
201412 -0.418 99.098 -0.501
201503 0.005 99.720 0.006
201506 0.416 100.050 0.494
201509 0.175 100.110 0.208
201512 -0.324 100.220 -0.384
201603 0.402 100.560 0.475
201606 0.574 100.790 0.677
201609 -0.139 101.460 -0.163
201612 -0.719 101.560 -0.841
201703 1.821 102.850 2.104
201706 1.086 102.610 1.258
201709 0.655 103.490 0.752
201712 0.248 102.990 0.286
201803 1.508 104.100 1.722
201806 0.615 104.130 0.702
201809 0.872 105.650 0.981
201812 -0.371 104.350 -0.423
201903 1.239 104.490 1.409
201906 0.192 104.880 0.218
201909 0.515 105.200 0.582
201912 -1.863 105.120 -2.106
202003 2.115 105.540 2.382
202006 0.115 104.870 0.130
202009 1.254 106.200 1.403
202012 0.543 105.765 0.610
202103 2.060 107.357 2.280
202106 -0.801 107.579 -0.885
202109 0.774 108.759 0.846
202112 0.080 109.676 0.087
202203 2.533 111.806 2.693
202206 0.396 114.083 0.413
202209 0.247 114.831 0.256
202212 -0.702 115.200 -0.724
202303 0.935 116.550 0.953
202306 0.320 117.140 0.325
202309 0.751 119.111 0.749
202312 -0.598 118.848 -0.598

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.


LG Electronics  (WBO:LGLG) 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.


LG Electronics Shiller PE Ratio Related Terms

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


LG Electronics (WBO:LGLG) Business Description

Traded in Other Exchanges
Address
Twin Tower 128, Yeoui-daero, Yeongdeungpo-gu, Seoul, KOR, 07336
LG Electronics Inc is a South Korea-based company that produces a broad range of electronic products. Its businesses are the home entertainment segment, which produces and sells TVs and digital media products; the mobile communications segment, which produces and sells mobile communications equipment; the home appliance and air solutions segment, which produces and sells washing machines, refrigerators, and other products; the vehicle components segment, which designs and produces vehicle parts; the business solutions segment, which manufactures and sells PCs, solar panels, and other products; and Innotek, which sells substrates, sensors, and other items. The company generates the majority of total revenue from the home entertainment and home appliance and air solutions segments.

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