price-to-earnings
Share value ratio
Price-to-earnings is a ratio comparing a company's stock price to its earnings per share, used to gauge whether a stock is overvalued or undervalued.
A high P/E suggests investors expect future growth; a low P/E may indicate a bargain or trouble.
Tech stocks often carry higher price-to-earnings ratios than utilities.
Usually abbreviated P/E.
Stock price divided by profits
- multipleConsisting of many parts
- stock valuationAssessing company share worth
- fair valueReasonable exchange price
- overvaluedRated beyond actual worth
undervalued · intrinsic value · market cap · cheap · expensive · premium · discount
Period of rising prices
- bear marketProlonged securities decline
- market cycleRepeating economic phases
- expansionIncrease in scope
- contractionReduction in size
bubble · correction · sentiment · investor confidence · risk appetite · growth stocks · value stocks · cyclical
Systematic comparison of subjects
- peer groupSocial circle of equals
- benchmarkStandard for comparison
- growth rateSpeed of increase
- due diligencePre-transaction reasonable care
financial modeling · value investing · Buffett · contrarian · momentum
Company profit per share
- net incomeProfit after all deductions
- pro formaDone as formality
- profitGain exceeding expenditure
- bottom lineEssential point or conclusion
P/E ratio
Stock price divided by profits
- multipleConsisting of many parts
- stock valuationAssessing company share worth
- fair valueReasonable exchange price
overvalued · undervalued · intrinsic value · market cap · cheap · expensive · premium · discount
bull market
Period of rising prices
- bear marketProlonged securities decline
- market cycleRepeating economic phases
- expansionIncrease in scope
contraction · bubble · correction · sentiment · investor confidence · risk appetite · growth stocks · value stocks · cyclical · defensive
comparative analysis
Systematic comparison of subjects
- peer groupSocial circle of equals
- benchmarkStandard for comparison
- growth rateSpeed of increase
due diligence · financial modeling · value investing · Buffett · contrarian · momentum
EPS
Company profit per share
- net incomeProfit after all deductions
- pro formaDone as formality
- profitGain exceeding expenditure
- ratiosratio, proportion, fraction, percent, percentage
- Financial Ratiosdebt-to-equity, ROI, ROE, P/E ratio, gross margin
- investment analysistechnical analysis, valuation, financial modeling, investment research, stock valuation
- Valuationfair market value, market value, fair value, book value, appraised value
price-to-earningsnet asset value
Holdings minus debts
price-to-book · dividend yield · book value · discounted cash flow · market cap
price-to-earningsearnings per share
Profit allocated per stock
price, prices, priced, pricing, pricey, priceless, earn, earns, earned