The estimated P/E Ratio for China Stock Market is 9.12, calculated on 08 May 2024.
Considering the last 5 years, an average P/E interval is [9.38 , 13.29]. For this reason, the current P/E can be considered Undervalued
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 ( 9.12 ) |
Deviation vs μ |
Valuation |
Last 1Y | 8.77 | 0.41 | [7.94 · 8.36 , 9.18 · 9.60] |
|
+0.84 σ |
Fair
|
Last 2Y | 9.30 | 0.67 | [7.96 · 8.63 , 9.97 · 10.64] |
|
-0.27 σ |
Fair
|
Last 3Y | 10.02 | 1.33 | [7.35 · 8.69 , 11.36 · 12.69] |
|
-0.68 σ |
Fair
|
Last 4Y | 11.30 | 2.25 | [6.81 · 9.05 , 13.55 · 15.80] |
|
-0.97 σ |
Fair
|
Last 5Y | 11.34 | 1.95 | [7.43 · 9.38 , 13.29 · 15.24] |
|
-1.14 σ |
Undervalued
|
Last 6Y | 11.19 | 1.68 | [7.84 · 9.52 , 12.87 · 14.55] |
|
-1.24 σ |
Undervalued
|
Last 7Y | 11.50 | 1.63 | [8.25 · 9.87 , 13.13 · 14.76] |
|
-1.47 σ |
Undervalued
|
Last 8Y | 11.46 | 1.42 | [8.61 · 10.04 , 12.88 · 14.30] |
|
-1.65 σ |
Undervalued
|
Last 9Y | 11.22 | 1.42 | [8.37 · 9.79 , 12.64 · 14.07] |
|
-1.48 σ |
Undervalued
|
Last 10Y | 11.02 | 1.48 | [8.06 · 9.54 , 12.50 · 13.98] |
|
-1.29 σ |
Undervalued
|
Last 11Y | 10.71 | 1.50 | [7.71 · 9.21 , 12.21 · 13.71] |
|
-1.07 σ |
Undervalued
|
Last 12Y | 10.53 | 1.49 | [7.56 · 9.04 , 12.02 · 13.51] |
|
-0.95 σ |
Fair
|
Last 13Y | 10.36 | 1.44 | [7.48 · 8.92 , 11.80 · 13.24] |
|
-0.86 σ |
Fair
|
Last 14Y | 10.47 | 1.41 | [7.65 · 9.06 , 11.89 · 13.30] |
|
-0.96 σ |
Fair
|
Last 15Y | 10.76 | 1.59 | [7.58 · 9.17 , 12.35 · 13.95] |
|
-1.03 σ |
Undervalued
|
Last 16Y | 10.73 | 1.58 | [7.58 · 9.16 , 12.31 · 13.88] |
|
-1.02 σ |
Undervalued
|
Last 17Y | 10.98 | 1.75 | [7.48 · 9.23 , 12.72 · 14.47] |
|
-1.07 σ |
Undervalued
|
Last 18Y | 11.11 | 1.78 | [7.55 · 9.33 , 12.88 · 14.66] |
|
-1.12 σ |
Undervalued
|
Last 19Y | 11.08 | 1.71 | [7.66 · 9.37 , 12.79 · 14.50] |
|
-1.15 σ |
Undervalued
|
Last 20Y | 11.08 | 1.65 | [7.78 · 9.43 , 12.73 · 14.38] |
|
-1.19 σ |
Undervalued
|
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 | 9.12 |
|
+0.84 σ | -1.14 σ | -1.29 σ | -1.19 σ | |
All World | 20.68 |
|
+4.39 σ | +2.49 σ | +3.91 σ | +4.51 σ | ||
Emerging Markets | 14.17 |
|
+3.78 σ | +0.54 σ | +1.19 σ | +1.40 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 | +6.66% | 08 May | |
Short Term | Price vs SMA50 | +9.38% | 08 May |