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GSK (XTER:GS71) Shiller PE Ratio : 11.70 (As of May. 09, 2024)


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What is GSK Shiller PE Ratio?

As of today (2024-05-09), GSK's current share price is €20.59. GSK's E10 for the quarter that ended in Mar. 2024 was €1.76. GSK's Shiller PE Ratio for today is 11.70.

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

XTER:GS71' s Shiller PE Ratio Range Over the Past 10 Years
Min: 8.44   Med: 12.93   Max: 17.38
Current: 11.79

During the past years, GSK's highest Shiller PE Ratio was 17.38. The lowest was 8.44. And the median was 12.93.

XTER:GS71's Shiller PE Ratio is ranked better than
82.89% of 532 companies
in the Drug Manufacturers industry
Industry Median: 25.385 vs XTER:GS71: 11.79

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.

GSK's adjusted earnings per share data for the three months ended in Mar. 2024 was €0.297. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is €1.76 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


GSK Shiller PE Ratio Historical Data

The historical data trend for GSK'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.

GSK Shiller PE Ratio Chart

GSK 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 16.82 11.56 13.72 9.50 9.66

GSK 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 9.30 8.88 9.46 9.66 11.36

Competitive Comparison of GSK's Shiller PE Ratio

For the Drug Manufacturers - General subindustry, GSK'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.


GSK's Shiller PE Ratio Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, GSK's Shiller PE Ratio distribution charts can be found below:

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



GSK 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.

GSK's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=20.59/1.76
=11.70

* 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.

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

For example, GSK'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)
=0.297/130.0000*130.0000
=0.297

Current CPI (Mar. 2024) = 130.0000.

GSK Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201406 0.209 99.800 0.272
201409 0.130 100.000 0.169
201412 0.338 99.900 0.440
201503 2.873 99.600 3.750
201506 0.054 100.100 0.070
201509 0.188 100.200 0.244
201512 -0.125 100.400 -0.162
201603 0.093 100.400 0.120
201606 -0.142 101.000 -0.183
201609 0.241 101.500 0.309
201612 0.077 102.200 0.098
201703 0.307 102.700 0.389
201706 -0.053 103.500 -0.067
201709 0.344 104.300 0.429
201712 -0.159 105.000 -0.197
201803 0.157 105.100 0.194
201806 0.127 105.900 0.156
201809 0.399 106.600 0.487
201812 0.339 107.100 0.411
201903 0.243 107.000 0.295
201906 0.271 107.900 0.327
201909 0.435 108.400 0.522
201912 0.382 108.500 0.458
202003 0.437 108.600 0.523
202006 0.625 108.800 0.747
202009 0.340 109.200 0.405
202012 0.185 109.400 0.220
202103 0.310 109.700 0.367
202106 0.402 111.400 0.469
202109 0.336 112.400 0.389
202112 0.216 114.700 0.245
202203 0.531 116.500 0.593
202206 0.192 120.500 0.207
202209 3.028 122.300 3.219
202212 0.420 125.300 0.436
202303 0.414 126.800 0.424
202306 0.370 129.400 0.372
202309 0.413 130.100 0.413
202312 0.099 130.000 0.099
202403 0.297 130.000 0.297

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.


GSK  (XTER:GS71) 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.


GSK Shiller PE Ratio Related Terms

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GSK (XTER:GS71) Business Description

Address
980 Great West Road, Brentford, Middlesex, GBR, TW8 9GS
In the pharmaceutical industry, GSK ranks as one of the largest companies by total sales. The company wields its might across several therapeutic classes, including respiratory, cancer, and antiviral, as well as vaccines. GSK uses joint ventures to gain additional scale in certain markets like HIV.

GSK (XTER:GS71) Headlines

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