Price to Operating Profit (P/OP)
since 2005
Calculation
Express Scripts Holding Co., P/OP, long-term trends, calculation
| P/OP | = | Share price1, 2, 3 | ÷ | Operating profit per share1 | Operating profit per share1 | = | Operating income1 (in thousands) |
÷ | No. shares of common stock outstanding2 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Feb 27, 2018 | 8.08 | = | 78.64 | ÷ | 9.74 | 9.74 | = | 5,494,000 | ÷ | 564,347,000 | |
| Feb 14, 2017 | 8.29 | = | 69.63 | ÷ | 8.40 | 8.40 | = | 5,087,800 | ÷ | 605,720,000 | |
| Feb 16, 2016 | 10.57 | = | 68.65 | ÷ | 6.50 | 6.50 | = | 4,339,300 | ÷ | 668,046,000 | |
| Feb 23, 2015 | 17.50 | = | 86.72 | ÷ | 4.96 | 4.96 | = | 3,602,400 | ÷ | 726,898,000 | |
| Feb 20, 2014 | 16.85 | = | 77.12 | ÷ | 4.58 | 4.58 | = | 3,551,700 | ÷ | 776,032,000 | |
| Feb 19, 2013 | 16.75 | = | 56.98 | ÷ | 3.40 | 3.40 | = | 2,784,500 | ÷ | 818,499,000 | |
| Feb 22, 2012 | 10.81 | = | 51.63 | ÷ | 4.77 | 4.77 | = | 2,314,400 | ÷ | 484,778,000 | |
| Feb 16, 2011 | 14.65 | = | 57.42 | ÷ | 3.92 | 3.92 | = | 2,070,900 | ÷ | 528,284,000 | |
| Feb 24, 2010 | 16.12 | = | 43.88 | ÷ | 2.72 | 2.72 | = | 1,498,400 | ÷ | 550,596,000 | |
| Feb 25, 2009 | 11.11 | = | 28.73 | ÷ | 2.59 | 2.59 | = | 1,280,500 | ÷ | 495,352,000 | |
| Feb 21, 2008 | 15.43 | = | 32.38 | ÷ | 2.10 | 2.10 | = | 1,061,000 | ÷ | 505,616,000 | |
| Feb 8, 2007 | 11.95 | = | 18.15 | ÷ | 1.52 | 1.52 | = | 824,100 | ÷ | 542,544,000 | |
| Feb 23, 2006 | 20.17 | = | 22.15 | ÷ | 1.10 | 1.10 | = | 643,000 | ÷ | 585,484,088 |
Based on: 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$
2 Data adjusted for splits and stock dividends.
3 Closing price as at the filing date of Express Scripts Holding Co. Annual Report.
Between 2006 and 2018, the company exhibited a consistent and significant expansion in operating profit per share, which grew from 1.10 to 9.74. While the share price generally trended upward during the first decade, the valuation multiple relative to operating profit experienced a notable contraction in the final three years of the analyzed period.
- Operating Profit Trends
- Operating profit per share maintained a steady upward trajectory throughout the period. This growth was characterized by relative stability between 2006 and 2012, followed by an accelerated increase from 2014 onward, culminating in the highest recorded profit of 9.74 in 2018.
- Share Price Movement
- The share price grew from 22.15 in 2006 to a peak of 86.72 in 2015. Following this peak, the price declined to 68.65 in 2016 and subsequently recovered to 78.64 by 2018, reflecting a period of increased volatility relative to the earlier growth phase.
- P/OP Ratio Analysis
- The Price to operating profit (P/OP) ratio showed significant fluctuation, starting at a high of 20.17 in 2006. The ratio fluctuated between approximately 10.8 and 17.5 for most of the period, peaking again at 17.50 in 2015. However, a sharp downward trend is observed from 2016 to 2018, where the ratio dropped to 8.08. This indicates a compression in the valuation multiple, where the share price failed to keep pace with the rapid growth in operating profits.
AI Ask an analyst for more
Hi, I’m an AI-powered financial analyst at Stock Analysis on Net.
How can I help you?
Comparison to Competitors
Express Scripts Holding Co., P/OP, long-term trends, comparison to competitors
| Express Scripts Holding Co. | Abbott Laboratories | Intuitive Surgical Inc. | Medtronic PLC | UnitedHealth Group Inc. | |
|---|---|---|---|---|---|
| Feb 27, 2018 | 8.08 | 60.88 | 44.40 | 22.64 | 14.42 |
| Feb 14, 2017 | 8.29 | 24.25 | 28.93 | 22.18 | 11.79 |
| Feb 16, 2016 | 10.57 | 19.80 | 27.25 | 28.81 | 9.59 |
| Feb 23, 2015 | 17.50 | 27.50 | 34.42 | 16.68 | 10.12 |
| Feb 20, 2014 | 16.85 | 22.79 | 17.96 | 11.80 | 7.22 |
| Feb 19, 2013 | 16.75 | 6.82 | 26.21 | — | 6.32 |
| Feb 22, 2012 | 10.81 | 15.35 | 27.83 | — | 6.55 |
| Feb 16, 2011 | 14.65 | 11.92 | 23.28 | — | 5.90 |
| Feb 24, 2010 | 16.12 | 13.54 | 33.47 | — | 5.95 |
| Feb 25, 2009 | 11.11 | 14.66 | 14.45 | — | 6.59 |
| Feb 21, 2008 | 15.43 | 18.76 | 55.84 | — | 7.62 |
| Feb 8, 2007 | 11.95 | 40.49 | 38.98 | — | 10.47 |
| Feb 23, 2006 | 20.17 | 15.48 | 50.21 | — | 14.87 |
Based on: 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).