Price/earnings (p/e) ratio, Microeconomics

Price/Earnings (P/E) Ratio

This is a measure of an organization investment potential. Literally, a P/E ratio is how much a share is worth per dollar of earnings. The price-earnings ratio is calculated as follows:

325_Price earning ratio.png

An industries P/E ratio depends on investors' perceptions of an organization potential. Factors such as risk, quality of management, earnings history, growth potential, and organization conditions all come into play.

Posted Date: 10/16/2012 8:17:50 AM | Location : United States







Related Discussions:- Price/earnings (p/e) ratio, Assignment Help, Ask Question on Price/earnings (p/e) ratio, Get Answer, Expert's Help, Price/earnings (p/e) ratio Discussions

Write discussion on Price/earnings (p/e) ratio
Your posts are moderated
Related Questions
Niche Operators: It is assessed by TRAI that despite the USO support, existing big service providers would not be interested to serve about 50 per cent of the villages. To add

a machine cost 18871.00 today. at the end of each year I own the machine & it gives me returns of 4,948.00 after paying repairs and maintenance. After 6 years, I expect to sell it

In the short run, the size of the plant is fixed whereas in the long run a firm can adjust its plant size. One of the choices in the long run will be the short run plant size. That


Question: (a) The market demand schedule and market supply schedule for firm H is as follows: Q D = 500 - 10P Q S = -100 + 6P Where Q D and Q S denotes quantity de

A country s choice among the production of education and nuclear submarines is an issue of opportunity cost. Explain the issue using a PPF. Resources are limited whereas

Change in the price of a related good: Goods relate to each other in two ways. Goods are either complements or substitutes. Complementary goods are goods with joint demand. The

Draw a diagram to show the type of bond between two flourine atom


prove that the utility approach and the indifference curve approach yield the same consumer equilibrium