GURUFOCUS.COM » STOCK LIST » Financial Services » Credit Services » Mastercard Inc (XSWX:MA) » Definitions » Shiller PE Ratio

Mastercard (XSWX:MA) Shiller PE Ratio : (As of May. 07, 2024)


View and export this data going back to 2014. Start your Free Trial

What is Mastercard Shiller PE Ratio?

Note: If the price history is too short, we do not calculate current Shiller PE for this stock. All the historical data is shown as the company's primary share's data instead.

Shiller PE for Stocks: The True Measure of Stock Valuation


Mastercard Shiller PE Ratio Historical Data

The historical data trend for Mastercard'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.

Mastercard Shiller PE Ratio Chart

Mastercard 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 81.71 85.44 69.32 55.50 57.74

Mastercard 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 55.58 57.68 55.60 57.74 63.25

Competitive Comparison of Mastercard's Shiller PE Ratio

For the Credit Services subindustry, Mastercard'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.


Mastercard's Shiller PE Ratio Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, Mastercard's Shiller PE Ratio distribution charts can be found below:

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



Mastercard 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.

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

For example, Mastercard'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)
=0/129.4194*129.4194
=0.000

Current CPI (Mar. 2024) = 129.4194.

Mastercard Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201406 0.717 100.560 0.923
201409 0.815 100.428 1.050
201412 0.673 99.070 0.879
201503 0.872 99.621 1.133
201506 0.755 100.684 0.970
201509 0.836 100.392 1.078
201512 0.786 99.792 1.019
201603 0.844 100.470 1.087
201606 0.863 101.688 1.098
201609 1.051 101.861 1.335
201612 0.877 101.863 1.114
201703 1.002 102.862 1.261
201706 1.065 103.349 1.334
201709 1.290 104.136 1.603
201712 0.207 104.011 0.258
201803 1.337 105.290 1.643
201806 1.485 106.317 1.808
201809 1.762 106.507 2.141
201812 0.863 105.998 1.054
201903 1.801 107.251 2.173
201906 1.976 108.070 2.366
201909 2.051 108.329 2.450
201912 2.034 108.420 2.428
202003 1.612 108.902 1.916
202006 1.341 108.767 1.596
202009 1.381 109.815 1.628
202012 1.581 109.897 1.862
202103 1.702 111.754 1.971
202106 1.888 114.631 2.132
202109 2.252 115.734 2.518
202112 2.220 117.630 2.443
202203 2.491 121.301 2.658
202206 2.270 125.017 2.350
202209 2.511 125.227 2.595
202212 2.441 125.222 2.523
202303 0.000 127.348 0.000
202306 0.000 128.729 0.000
202309 0.000 129.860 0.000
202312 0.000 129.419 0.000
202403 0.000 129.419 0.000

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.


Mastercard  (XSWX:MA) 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.


Mastercard Shiller PE Ratio Related Terms

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


Mastercard (XSWX:MA) Business Description

Address
2000 Purchase Street, Purchase, NY, USA, 10577
Mastercard is the second-largest payment processor in the world, having processed close to over $8 trillion in transactions during 2022. Mastercard operates in over 200 countries and processes transactions in over 150 currencies.