The estimated P/E Ratio for China Stock Market is 9.72, calculated on 17 January 2025.
Considering the last 5 years, an average P/E interval is [9.01 , 13.19]. For this reason, the current P/E can be considered Fair
P/E Ratio is calculated on the FXI Etf, whose benchmark is the China Stock Market.
Historical P/E Ratio
When evaluating the P/E Ratio, it's important to not only look at its absolute value but also compare it to the average of previous periods. This allows for a more comprehensive understanding of the index/market valuation.
The following chart shows how the China Stock Market P/E Ratio has changed over time. Furthermore, for some trailing timeframes, you can view the average P/E and standard deviation.
A P/E greater than (μ + σ) is defined "Overvalued", greater than (μ + 2σ) is defined "Expensive".
A P/E less than (μ - σ) is defined "Undervalued", less than (μ - 2σ) is defined "Cheap".
Range |
Analysis |
|||||
---|---|---|---|---|---|---|
Period | Average P/E (μ) |
Std Dev (σ) |
Std Dev Range [ μ-2σ · μ-σ , μ+σ · μ+2σ ] |
vs Current P/E ( 9.72 ) |
Deviation vs μ |
Valuation |
Last 1Y | 8.99 | 0.37 | [8.25 · 8.62 , 9.36 · 9.73] |
|
+1.96 σ |
Overvalued
|
Last 2Y | 9.03 | 0.34 | [8.36 · 8.70 , 9.37 · 9.70] |
|
+2.05 σ |
Expensive
|
Last 3Y | 9.32 | 0.64 | [8.04 · 8.68 , 9.95 · 10.59] |
|
+0.63 σ |
Fair
|
Last 4Y | 10.24 | 1.59 | [7.05 · 8.64 , 11.83 · 13.43] |
|
-0.33 σ |
Fair
|
Last 5Y | 11.10 | 2.09 | [6.92 · 9.01 , 13.19 · 15.29] |
|
-0.66 σ |
Fair
|
Last 6Y | 10.99 | 1.77 | [7.45 · 9.22 , 12.76 · 14.53] |
|
-0.72 σ |
Fair
|
Last 7Y | 11.08 | 1.66 | [7.76 · 9.42 , 12.73 · 14.39] |
|
-0.82 σ |
Fair
|
Last 8Y | 11.26 | 1.56 | [8.14 · 9.70 , 12.82 · 14.38] |
|
-0.99 σ |
Fair
|
Last 9Y | 11.19 | 1.44 | [8.32 · 9.76 , 12.63 · 14.07] |
|
-1.03 σ |
Undervalued
|
Last 10Y | 11.07 | 1.43 | [8.20 · 9.64 , 12.50 · 13.94] |
|
-0.94 σ |
Fair
|
Last 11Y | 10.77 | 1.45 | [7.86 · 9.31 , 12.22 · 13.67] |
|
-0.72 σ |
Fair
|
Last 12Y | 10.58 | 1.45 | [7.67 · 9.12 , 12.03 · 13.48] |
|
-0.59 σ |
Fair
|
Last 13Y | 10.38 | 1.42 | [7.54 · 8.96 , 11.80 · 13.22] |
|
-0.47 σ |
Fair
|
Last 14Y | 10.32 | 1.38 | [7.55 · 8.94 , 11.70 · 13.09] |
|
-0.44 σ |
Fair
|
Last 15Y | 10.52 | 1.46 | [7.61 · 9.07 , 11.98 · 13.44] |
|
-0.55 σ |
Fair
|
Last 16Y | 10.67 | 1.54 | [7.59 · 9.13 , 12.20 · 13.74] |
|
-0.62 σ |
Fair
|
Last 17Y | 10.73 | 1.60 | [7.53 · 9.13 , 12.33 · 13.93] |
|
-0.63 σ |
Fair
|
Last 18Y | 10.96 | 1.76 | [7.43 · 9.20 , 12.72 · 14.48] |
|
-0.70 σ |
Fair
|
Last 19Y | 11.04 | 1.74 | [7.55 · 9.30 , 12.78 · 14.53] |
|
-0.76 σ |
Fair
|
Last 20Y | 11.03 | 1.69 | [7.66 · 9.35 , 12.72 · 14.41] |
|
-0.78 σ |
Fair
|
P/E Comparison
How is the China Stock Market P/E Ratio, compared to other global ratios?
Deviation vs μ | ||||||||
---|---|---|---|---|---|---|---|---|
Trend | P/E | 1Y | 5Y | 10Y | 20Y | |||
|
China | 9.72 |
|
+1.96 σ | -0.66 σ | -0.94 σ | -0.78 σ | |
All World | 21.60 |
|
+1.63 σ | +2.57 σ | +3.64 σ | +4.47 σ | ||
Emerging Markets | 14.08 |
|
+0.43 σ | +0.30 σ | +0.84 σ | +1.19 σ |
China Stock Market Trend
Trend is evaluated considering the price of the FXI Etf and its 200/50-day moving averages (SMA).
Trend | Indicator | Valuation | Margin | |
---|---|---|---|---|
Long Term | Price vs SMA200 | +7.80% | 17 Jan | |
Short Term | Price vs SMA50 | -0.45% | 17 Jan |