Germany Stock Market: current P/E Ratio

16.93
Last update: 17 January 2025

The estimated P/E Ratio for Germany Stock Market is 16.93, calculated on 17 January 2025.

Considering the last 5 years, an average P/E interval is [11.94 , 15.21]. For this reason, the current P/E can be considered Expensive

P/E Ratio is calculated on the EWG Etf, whose benchmark is the Germany 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 Germany Stock Market P/E Ratio has changed over time. Furthermore, for some trailing timeframes, you can view the average P/E and standard deviation.

17 January 2025 · P/E Ratio: 16.93
17 January 2025 · P/E Ratio: 16.93 · 1Y Average: 14.25 · 1 Std Dev range: [13.26 , 15.23] · 2 Std Dev range: [12.27 , 16.22]
17 January 2025 · P/E Ratio: 16.93 · 5Y Average: 13.58 · 1 Std Dev range: [11.94 , 15.21] · 2 Std Dev range: [10.30 , 16.85]
17 January 2025 · P/E Ratio: 16.93 · 10Y Average: 13.23 · 1 Std Dev range: [12.20 , 14.25] · 2 Std Dev range: [11.18 , 15.27]
17 January 2025 · P/E Ratio: 16.93 · 20Y Average: 12.27 · 1 Std Dev range: [11.17 , 13.38] · 2 Std Dev range: [10.07 , 14.48]
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".
17 January 2025 · P/E Ratio: 16.93 · 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
( 16.93 )
Deviation
vs μ
Valuation
Last 1Y 14.25 0.99 [12.27 · 13.26 , 15.23 · 16.22]
+2.72 σ
Expensive
Last 2Y 13.34 1.04 [11.26 · 12.30 , 14.38 · 15.42]
+3.46 σ
Expensive
Last 3Y 12.31 1.36 [9.59 · 10.95 , 13.67 · 15.03]
+3.40 σ
Expensive
Last 4Y 13.02 1.52 [9.98 · 11.50 , 14.54 · 16.06]
+2.57 σ
Expensive
Last 5Y 13.58 1.64 [10.30 · 11.94 , 15.21 · 16.85]
+2.05 σ
Expensive
Last 6Y 13.34 1.45 [10.43 · 11.88 , 14.79 · 16.24]
+2.48 σ
Expensive
Last 7Y 13.18 1.33 [10.52 · 11.85 , 14.50 · 15.83]
+2.83 σ
Expensive
Last 8Y 13.21 1.15 [10.92 · 12.06 , 14.35 · 15.50]
+3.25 σ
Expensive
Last 9Y 13.11 1.06 [10.99 · 12.05 , 14.16 · 15.22]
+3.63 σ
Expensive
Last 10Y 13.23 1.02 [11.18 · 12.20 , 14.25 · 15.27]
+3.63 σ
Expensive
Last 11Y 13.10 0.94 [11.21 · 12.16 , 14.05 · 14.99]
+4.05 σ
Expensive
Last 12Y 12.93 1.00 [10.94 · 11.93 , 13.93 · 14.93]
+4.01 σ
Expensive
Last 13Y 12.69 1.12 [10.45 · 11.57 , 13.81 · 14.93]
+3.79 σ
Expensive
Last 14Y 12.49 1.23 [10.02 · 11.25 , 13.72 · 14.95]
+3.60 σ
Expensive
Last 15Y 12.39 1.24 [9.91 · 11.15 , 13.64 · 14.88]
+3.65 σ
Expensive
Last 16Y 12.31 1.22 [9.88 · 11.10 , 13.53 · 14.74]
+3.80 σ
Expensive
Last 17Y 12.18 1.26 [9.67 · 10.92 , 13.44 · 14.70]
+3.78 σ
Expensive
Last 18Y 12.21 1.20 [9.82 · 11.02 , 13.41 · 14.60]
+3.95 σ
Expensive
Last 19Y 12.24 1.15 [9.93 · 11.08 , 13.39 · 14.54]
+4.08 σ
Expensive
Last 20Y 12.27 1.10 [10.07 · 11.17 , 13.38 · 14.48]
+4.23 σ
Expensive

P/E Comparison

How is the Germany Stock Market P/E Ratio, compared to other global ratios?

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Deviation vs μ
Trend P/E 1Y 5Y 10Y 20Y
Germany 16.93
+2.72 σ +2.05 σ +3.63 σ +4.23 σ
All World 21.60
+1.63 σ +2.57 σ +3.64 σ +4.47 σ
Developed ex-US 16.40
+1.32 σ +1.13 σ +2.10 σ +2.54 σ

Germany Stock Market Trend

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

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Trend Indicator Valuation Margin
Long Term Price vs SMA200 +4.18% 17 Jan
Short Term Price vs SMA50 +2.80% 17 Jan
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.