Common Stock Valuation Ratios (Price Multiples)
Valuation ratios measure the quantity of an asset or flaw (e.g., earnings) associated with ownership of a specified claim (e.g., a share of ownership of the enterprise).
Current Valuation Ratios
Twenty-First Century Fox Inc., current price multiples
| Twenty-First Century Fox Inc. | Alphabet Inc. | Comcast Corp. | Meta Platforms Inc. | Netflix Inc. | Walt Disney Co. | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||
| Current share price (P) | $49.43 | ||||||
| No. shares of common stock outstanding | 1,856,929,453 | ||||||
| Growth rate (g) | 26.00% | ||||||
| Earnings per share (EPS) | $2.40 | ||||||
| Next year expected EPS | $3.03 | ||||||
| Operating profit per share | $3.40 | ||||||
| Sales per share | $16.37 | ||||||
| Book value per share (BVPS) | $10.54 | ||||||
| Valuation Ratios (Price Multiples) | |||||||
| Price to earnings (P/E) | 20.56 | 26.43 | 10.06 | 32.22 | 49.11 | 88.01 | |
| Price to next year expected earnings | 16.32 | 21.52 | 9.35 | 26.11 | 38.58 | 83.68 | |
| Price-earnings-growth (PEG) | 0.79 | 1.16 | 1.33 | 1.38 | 1.80 | 17.04 | |
| Price to operating profit (P/OP) | 14.55 | 23.14 | 6.64 | 26.95 | 38.19 | 40.62 | |
| Price to sales (P/S) | 3.02 | 6.35 | 1.27 | 9.34 | 7.88 | 2.33 | |
| Price to book value (P/BV) | 4.69 | 6.88 | 1.87 | 8.23 | 12.90 | 2.09 | |
Based on: 10-K (reporting date: 2018-06-30).
If the company price multiple is lower then the price multiple of benchmark then company stock is relatively undervalued.
Otherwise, if the company price multiple is higher then the price multiple of benchmark then company stock is relatively overvalued.
Historical Valuation Ratios (Summary)
Twenty-First Century Fox Inc., historical price multiples
Based on: 10-K (reporting date: 2018-06-30), 10-K (reporting date: 2017-06-30), 10-K (reporting date: 2016-06-30), 10-K (reporting date: 2015-06-30), 10-K (reporting date: 2014-06-30), 10-K (reporting date: 2013-06-30).
| Valuation ratio | Description | The company |
|---|---|---|
| P/E ratio | The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. | Twenty-First Century Fox Inc. P/E ratio increased from 2016 to 2017 and from 2017 to 2018. |
| P/OP ratio | Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. | Twenty-First Century Fox Inc. P/OP ratio decreased from 2016 to 2017 but then increased from 2017 to 2018 exceeding 2016 level. |
| P/S ratio | An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. | Twenty-First Century Fox Inc. P/S ratio increased from 2016 to 2017 and from 2017 to 2018. |
| P/BV ratio | The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return. | Twenty-First Century Fox Inc. P/BV ratio decreased from 2016 to 2017 but then increased from 2017 to 2018 exceeding 2016 level. |
Price to Earnings (P/E)
Twenty-First Century Fox Inc., historical P/E calculation, comparison to benchmarks
| Jun 30, 2018 | Jun 30, 2017 | Jun 30, 2016 | Jun 30, 2015 | Jun 30, 2014 | Jun 30, 2013 | ||
|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 1,852,574,153 | 1,851,057,916 | 1,862,528,151 | 2,019,460,912 | 2,190,056,341 | 2,309,530,372 | |
| Selected Financial Data (US$) | |||||||
| Net income attributable to Twenty-First Century Fox, Inc. stockholders (in millions) | 4,464) | 2,952) | 2,755) | 8,306) | 4,514) | 7,097) | |
| Earnings per share (EPS)2 | 2.41 | 1.59 | 1.48 | 4.11 | 2.06 | 3.07 | |
| Share price1, 3 | 45.32 | 28.21 | 26.16 | 30.12 | 35.76 | 31.44 | |
| Valuation Ratio | |||||||
| P/E ratio4 | 18.81 | 17.69 | 17.69 | 7.32 | 17.35 | 10.23 | |
| Benchmarks | |||||||
| P/E Ratio, Competitors5 | |||||||
| Alphabet Inc. | — | — | — | — | — | — | |
| Comcast Corp. | — | — | — | — | — | — | |
| Meta Platforms Inc. | — | — | — | — | — | — | |
| Netflix Inc. | — | — | — | — | — | — | |
| Walt Disney Co. | 13.36 | — | — | — | — | — | |
Based on: 10-K (reporting date: 2018-06-30), 10-K (reporting date: 2017-06-30), 10-K (reporting date: 2016-06-30), 10-K (reporting date: 2015-06-30), 10-K (reporting date: 2014-06-30), 10-K (reporting date: 2013-06-30).
1 Data adjusted for splits and stock dividends.
2 2018 Calculation
EPS = Net income attributable to Twenty-First Century Fox, Inc. stockholders ÷ No. shares of common stock outstanding
= 4,464,000,000 ÷ 1,852,574,153 = 2.41
3 Closing price as at the filing date of Twenty-First Century Fox Inc. Annual Report.
4 2018 Calculation
P/E ratio = Share price ÷ EPS
= 45.32 ÷ 2.41 = 18.81
5 Click competitor name to see calculations.
| Valuation ratio | Description | The company |
|---|---|---|
| P/E ratio | The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. | Twenty-First Century Fox Inc. P/E ratio increased from 2016 to 2017 and from 2017 to 2018. |
Price to Operating Profit (P/OP)
Twenty-First Century Fox Inc., historical P/OP calculation, comparison to benchmarks
| Jun 30, 2018 | Jun 30, 2017 | Jun 30, 2016 | Jun 30, 2015 | Jun 30, 2014 | Jun 30, 2013 | ||
|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 1,852,574,153 | 1,851,057,916 | 1,862,528,151 | 2,019,460,912 | 2,190,056,341 | 2,309,530,372 | |
| Selected Financial Data (US$) | |||||||
| Operating income (in millions) | 6,307) | 6,240) | 5,669) | 5,906) | 5,488) | 5,375) | |
| Operating profit per share2 | 3.40 | 3.37 | 3.04 | 2.92 | 2.51 | 2.33 | |
| Share price1, 3 | 45.32 | 28.21 | 26.16 | 30.12 | 35.76 | 31.44 | |
| Valuation Ratio | |||||||
| P/OP ratio4 | 13.31 | 8.37 | 8.59 | 10.30 | 14.27 | 13.51 | |
| Benchmarks | |||||||
| P/OP Ratio, Competitors5 | |||||||
| Alphabet Inc. | — | — | — | — | — | — | |
| Comcast Corp. | — | — | — | — | — | — | |
| Meta Platforms Inc. | — | — | — | — | — | — | |
| Netflix Inc. | — | — | — | — | — | — | |
| Walt Disney Co. | 11.37 | — | — | — | — | — | |
Based on: 10-K (reporting date: 2018-06-30), 10-K (reporting date: 2017-06-30), 10-K (reporting date: 2016-06-30), 10-K (reporting date: 2015-06-30), 10-K (reporting date: 2014-06-30), 10-K (reporting date: 2013-06-30).
1 Data adjusted for splits and stock dividends.
2 2018 Calculation
Operating profit per share = Operating income ÷ No. shares of common stock outstanding
= 6,307,000,000 ÷ 1,852,574,153 = 3.40
3 Closing price as at the filing date of Twenty-First Century Fox Inc. Annual Report.
4 2018 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 45.32 ÷ 3.40 = 13.31
5 Click competitor name to see calculations.
| Valuation ratio | Description | The company |
|---|---|---|
| P/OP ratio | Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. | Twenty-First Century Fox Inc. P/OP ratio decreased from 2016 to 2017 but then increased from 2017 to 2018 exceeding 2016 level. |
Price to Sales (P/S)
Twenty-First Century Fox Inc., historical P/S calculation, comparison to benchmarks
| Jun 30, 2018 | Jun 30, 2017 | Jun 30, 2016 | Jun 30, 2015 | Jun 30, 2014 | Jun 30, 2013 | ||
|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 1,852,574,153 | 1,851,057,916 | 1,862,528,151 | 2,019,460,912 | 2,190,056,341 | 2,309,530,372 | |
| Selected Financial Data (US$) | |||||||
| Revenues (in millions) | 30,400) | 28,500) | 27,326) | 28,987) | 31,867) | 27,675) | |
| Sales per share2 | 16.41 | 15.40 | 14.67 | 14.35 | 14.55 | 11.98 | |
| Share price1, 3 | 45.32 | 28.21 | 26.16 | 30.12 | 35.76 | 31.44 | |
| Valuation Ratio | |||||||
| P/S ratio4 | 2.76 | 1.83 | 1.78 | 2.10 | 2.46 | 2.62 | |
| Benchmarks | |||||||
| P/S Ratio, Competitors5 | |||||||
| Alphabet Inc. | — | — | — | — | — | — | |
| Comcast Corp. | — | — | — | — | — | — | |
| Meta Platforms Inc. | — | — | — | — | — | — | |
| Netflix Inc. | — | — | — | — | — | — | |
| Walt Disney Co. | 2.83 | — | — | — | — | — | |
Based on: 10-K (reporting date: 2018-06-30), 10-K (reporting date: 2017-06-30), 10-K (reporting date: 2016-06-30), 10-K (reporting date: 2015-06-30), 10-K (reporting date: 2014-06-30), 10-K (reporting date: 2013-06-30).
1 Data adjusted for splits and stock dividends.
2 2018 Calculation
Sales per share = Revenues ÷ No. shares of common stock outstanding
= 30,400,000,000 ÷ 1,852,574,153 = 16.41
3 Closing price as at the filing date of Twenty-First Century Fox Inc. Annual Report.
4 2018 Calculation
P/S ratio = Share price ÷ Sales per share
= 45.32 ÷ 16.41 = 2.76
5 Click competitor name to see calculations.
| Valuation ratio | Description | The company |
|---|---|---|
| P/S ratio | An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. | Twenty-First Century Fox Inc. P/S ratio increased from 2016 to 2017 and from 2017 to 2018. |
Price to Book Value (P/BV)
Twenty-First Century Fox Inc., historical P/BV calculation, comparison to benchmarks
| Jun 30, 2018 | Jun 30, 2017 | Jun 30, 2016 | Jun 30, 2015 | Jun 30, 2014 | Jun 30, 2013 | ||
|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 1,852,574,153 | 1,851,057,916 | 1,862,528,151 | 2,019,460,912 | 2,190,056,341 | 2,309,530,372 | |
| Selected Financial Data (US$) | |||||||
| Total Twenty-First Century Fox, Inc. stockholders’ equity (in millions) | 19,564) | 15,722) | 13,661) | 17,220) | 17,418) | 16,998) | |
| Book value per share (BVPS)2 | 10.56 | 8.49 | 7.33 | 8.53 | 7.95 | 7.36 | |
| Share price1, 3 | 45.32 | 28.21 | 26.16 | 30.12 | 35.76 | 31.44 | |
| Valuation Ratio | |||||||
| P/BV ratio4 | 4.29 | 3.32 | 3.57 | 3.53 | 4.50 | 4.27 | |
| Benchmarks | |||||||
| P/BV Ratio, Competitors5 | |||||||
| Alphabet Inc. | — | — | — | — | — | — | |
| Comcast Corp. | — | — | — | — | — | — | |
| Meta Platforms Inc. | — | — | — | — | — | — | |
| Netflix Inc. | — | — | — | — | — | — | |
| Walt Disney Co. | 3.45 | — | — | — | — | — | |
Based on: 10-K (reporting date: 2018-06-30), 10-K (reporting date: 2017-06-30), 10-K (reporting date: 2016-06-30), 10-K (reporting date: 2015-06-30), 10-K (reporting date: 2014-06-30), 10-K (reporting date: 2013-06-30).
1 Data adjusted for splits and stock dividends.
2 2018 Calculation
BVPS = Total Twenty-First Century Fox, Inc. stockholders’ equity ÷ No. shares of common stock outstanding
= 19,564,000,000 ÷ 1,852,574,153 = 10.56
3 Closing price as at the filing date of Twenty-First Century Fox Inc. Annual Report.
4 2018 Calculation
P/BV ratio = Share price ÷ BVPS
= 45.32 ÷ 10.56 = 4.29
5 Click competitor name to see calculations.
| Valuation ratio | Description | The company |
|---|---|---|
| P/BV ratio | The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return. | Twenty-First Century Fox Inc. P/BV ratio decreased from 2016 to 2017 but then increased from 2017 to 2018 exceeding 2016 level. |