Europe Stocks: current P/E Ratio

15.59
Last update: 20 November 2024

The estimated P/E Ratio for Europe Stocks is 15.59, calculated on 20 November 2024.

Considering the last 5 years, an average P/E interval is [12.07 , 15.11]. For this reason, the current P/E can be considered Overvalued

P/E Ratio is calculated on the VGK Etf, whose benchmark is the Europe Stocks.

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 Europe Stocks P/E Ratio has changed over time. Furthermore, for some trailing timeframes, you can view the average P/E and standard deviation.

20 November 2024 · P/E Ratio: 15.59
20 November 2024 · P/E Ratio: 15.59 · 1Y Average: 14.54 · 1 Std Dev range: [13.43 , 15.65] · 2 Std Dev range: [12.32 , 16.77]
20 November 2024 · P/E Ratio: 15.59 · 5Y Average: 13.59 · 1 Std Dev range: [12.07 , 15.11] · 2 Std Dev range: [10.55 , 16.63]
20 November 2024 · P/E Ratio: 15.59 · 10Y Average: 13.61 · 1 Std Dev range: [12.63 , 14.59] · 2 Std Dev range: [11.65 , 15.57]
20 November 2024 · P/E Ratio: 15.59 · 20Y Average: 12.43 · 1 Std Dev range: [11.07 , 13.80] · 2 Std Dev range: [9.70 , 15.17]
Methodology
The Average P/E (μ) and the Standard Deviation (σ) are calculated excluding 20% outliers (i.e. over a range of values excluding 10% of observations from the top and 10% from the bottom of the dataset).
A P/E between (μ - σ) and (μ + σ) is considered "Fair", over a specific timeframe.
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".
20 November 2024 · P/E Ratio: 15.59 · Last Periods metrics
Show all periods
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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
( 15.59 )		 Deviation
vs μ		 Valuation
Last 1Y 14.54 1.11 [12.32 · 13.43 , 15.65 · 16.77]
+0.94 σ
Fair
Last 2Y 13.48 1.31 [10.86 · 12.17 , 14.78 · 16.09]
+1.62 σ
Overvalued
Last 3Y 12.53 1.46 [9.61 · 11.07 , 13.99 · 15.45]
+2.10 σ
Expensive
Last 4Y 13.23 1.57 [10.09 · 11.66 , 14.79 · 16.36]
+1.51 σ
Overvalued
Last 5Y 13.59 1.52 [10.55 · 12.07 , 15.11 · 16.63]
+1.32 σ
Overvalued
Last 6Y 13.28 1.39 [10.51 · 11.89 , 14.67 · 16.05]
+1.67 σ
Overvalued
Last 7Y 13.28 1.23 [10.82 · 12.05 , 14.51 · 15.74]
+1.88 σ
Overvalued
Last 8Y 13.37 1.10 [11.18 · 12.27 , 14.47 · 15.57]
+2.02 σ
Expensive
Last 9Y 13.45 1.01 [11.44 · 12.44 , 14.46 · 15.47]
+2.12 σ
Expensive
Last 10Y 13.61 0.98 [11.65 · 12.63 , 14.59 · 15.57]
+2.02 σ
Expensive
Last 11Y 13.53 0.90 [11.74 · 12.64 , 14.43 · 15.32]
+2.30 σ
Expensive
Last 12Y 13.32 1.04 [11.24 · 12.28 , 14.36 · 15.40]
+2.19 σ
Expensive
Last 13Y 13.04 1.25 [10.54 · 11.79 , 14.28 · 15.53]
+2.05 σ
Expensive
Last 14Y 12.78 1.43 [9.91 · 11.34 , 14.21 · 15.64]
+1.97 σ
Overvalued
Last 15Y 12.64 1.48 [9.68 · 11.16 , 14.13 · 15.61]
+1.99 σ
Overvalued
Last 16Y 12.49 1.50 [9.49 · 10.99 , 13.98 · 15.48]
+2.08 σ
Expensive
Last 17Y 12.34 1.53 [9.29 · 10.82 , 13.87 · 15.39]
+2.13 σ
Expensive
Last 18Y 12.35 1.45 [9.45 · 10.90 , 13.79 · 15.24]
+2.24 σ
Expensive
Last 19Y 12.35 1.39 [9.57 · 10.96 , 13.73 · 15.12]
+2.34 σ
Expensive
Last 20Y 12.43 1.37 [9.70 · 11.07 , 13.80 · 15.17]
+2.30 σ
Expensive

Europe Stocks Trend

Trend is evaluated considering the price of the VGK Etf and its 200/50-day moving averages (SMA).

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Trend Indicator Valuation Margin
Long Term Price vs SMA200 -4.48% 20 Nov
Short Term Price vs SMA50 -5.58% 20 Nov
The 200-day moving average is a long-term indicator that takes into account the average price of a stock over the past 200 trading days. It is considered a significant level of support or resistance, meaning that when the stock price is above the 200-day moving average (i.e. margin vs moving average is positive), it is generally viewed as bullish, while when it is below, it is viewed as bearish.

The 50-day moving average, on the other hand, is a shorter-term indicator that measures the average price of a stock over the past 50 trading days. It is also viewed as a significant level of support or resistance and can be used to identify shorter-term trends.