A comprehensive explanation to the PE ratio

  • 5 years ago
In this video you will learn about one of the most important things to keep in mind before investing in the stock of a particular company, that is the PE ratio:

1. The PE ratio is calculated as the market price of share/ Earnings per share
2. It is a metric into the valuation of a company
3. However, it is not the only things that should be considered before investing in a stock
4. Lower the PE ratio better is the stock for investment
5. PE ratio is compared across the same industry
6. Very high PE ratio at times indicates an overestimation of the company by the investor

To check out the Stock market live, visit https://www.edelweiss.in/marke?utm_source=platform-dailymotion-offpage&utm_medium=free&utm_campaign=12-07-2019
Also, if you wish to know more on stock markets and personal finance you can visit https://www.edelweiss.in?utm_source=platform-dailymotion-offpage&utm_medium=free&utm_campaign=12-07-2019

Recommended