Price/earnings (p/e) ratio, Microeconomics

Assignment Help:

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.


Related Discussions:- Price/earnings (p/e) ratio

Macroeconomics, 8,000,000 people in the population who are 16 yrs of age an...

8,000,000 people in the population who are 16 yrs of age and older. 80% are willing to work. Currently 10% unemployment rate. a. how many people in labor force? b. How many are un

Policy measures for private sector investment, Policy Measures for Private ...

Policy Measures for Private Sector Investment Policy measures aimed at reforming education financing was made with two major propositions, viz. (i) Improving the efficiency

Equations, Ask q3x+5=20 uestion #Minimum 100 words accepted#

Ask q3x+5=20 uestion #Minimum 100 words accepted#

Supply, Case 1: The market for drugs Supply, demand, and equilibrium: ...

Case 1: The market for drugs Supply, demand, and equilibrium: The market for drugs. Suppose the market for drugs is a perfectly competitive market. Let the supply curve

Why do demand curves generally slope downward, Why do demand curves general...

Why do demand curves generally slope downward?  The demand curve slopes downward because in general, the higher the price of the good, the fewer people will need to buy it.

What are externalities and corrective taxes, 1. What are externalities? Giv...

1. What are externalities? Give an example of positive and negative externality and explain why the market outcomes are inefficient in the presence of externalities? 2. What are

Use of resources - international monetary fund, Use of Resources - INTERNAT...

Use of Resources - INTERNATIONAL MONETARY FUND: IMF provides temporary assistance to member-countries to tide over balance of payments deficits. When the country requires fore

What do you meant by deficit, Q. What do you meant by Deficit? Deficit:...

Q. What do you meant by Deficit? Deficit: When a business, government or household spends more in a given period of time than they generate in income, they suffer a deficit. A

Chamberline approach, a more simple explanation of the group equilibrium in...

a more simple explanation of the group equilibrium in the short and long run

Statistics, please can you explainn what "down 0.1 percentage point on the ...

please can you explainn what "down 0.1 percentage point on the quarter means"?

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd