Europe: PER around 15.4 times, with a more than reasonable yield of 3.58%

Alphavalue | The results season has passed half way and the balance is positive, again more so in the US than in Europe, but with solid figures on both sides of the Atlantic.


In the US the strength of sales is extraordinary (above 10% yoy) and the fact that around 85% have exceeded expectations adds impetus to the figures.


We already know that in Europe the growth of sales is slower, but this time it is still beating expectations.


As far as EPS are concerned, AlphaValue foresees advances for 2018 of +7.65% yoy after an exceptional 2017 (+22.3%). Given that the numerator of PER (the share price) has not risen much, but that future estimations for EPS remain buoyant, the market is expensive, with PER currently estimated at 15.4 X, with a more than reasonable yield of 3.58% in 2018.