what is p\e ratio?

[Farhana parveen]

 
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The most common measure of how expensive a stock is. The P/E ratio is equal to a stock’s market capitalization divided by its after-tax earnings over a 12-month period, usually the trailing period but occasionally the current or forward period. The value is the same whether the calculation is done for the whole company or on a per-share basis. For example, the P/E ratio of company A with a share price of $10 and earnings per share of $2 is 5. The higher the P/E ratio, the more the market is willing to pay for each dollar of annual earnings.

[komalavalli.s]

P/E  is the company stock price to the company earnings per share.the ratio is used in valuing companies

[nishat Parveen]

It is calculated with price/earnings per share.eg,coco cola haf a price of 41.86 and earnings in 1.63 n gets approx 22rs as its pe ratio

[JOHN]

A  p/e Ratio (Price-Earnings Ratio) is used to determine how much investors are willing to pay for a stock relative to a company’s earnings.

Its calculated by dividing the current price of a stock with the company’s earnings per share

[jagadeeshwaran]

The price earning ratio often called pe ratio is a market prospectus ratio that calculate the market value of stock relative to its earning by compare the market price per share.

[Author]

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