Definitions for

**"Price-to-Earnings Ratio"****Related Terms:**Price/earnings ratio, P/e ratio, Price-earnings ratio, Price earnings ratio, P/e, Price to earnings ratio, Earnings yield, Price/earning ratio, Pe ratio, Dividend yield, Per, Growth stocks, Price-to-sales ratio, Price/sales ratio, Multiple, Growth stock, Peg ratio, Diluted earnings per share, Earnings per share, Value stock, Total shareholder return, Income stocks, Value stocks, Tsr, Dilution, Income stock, Primary earnings per share, Price-to-book ratio, Price/book ratio, Basic earnings per share, Dividend reinvestment plan, Return on common equity, Price to book ratio, Peg, Indicated yield, Market capitalization, Dividend per share, Blue chips, Capitalization, Market cap, Ex-dividend, Fully diluted earnings per share, Yield advantage, Share price, Dividend reinvestment plans, Capitalisation, Ex-dividend date, Dividends per share, Book value per share, Overvalued

See P/E ratio.

The amount investors pay for a stock in relation to the company's earnings per share of outstanding stock.

a company's stock price divided by its annual earnings per share.

Current market price of a stock divided by its earnings per share. Also known as the "multiple," the price-to-earnings ratio gives investors an idea of how much they are paying for a company's earning power and is a useful tool for evaluating the costs of different securities. Some firms use the inverse ratio for this calculation (i.e. earnings-to-price ratio).

(stock market) the price of a stock divided by its earnings

On a per-share basis, the price of a stock divided by the most recent 12 months' profit. A popular measure of comparing one stock to another.

The share price of a stock, divided by its per-share earnings over the past year.

The ratio between a stock's price and its historical, current, or anticipated earnings.

Amount investors are willing to pay for $1 of a form's current earnings. Price per share divided by earnings per share of the most recent 12 months.

"PtE" is the ratio of the market price of a firm's common stock to its current (or predicted) earnings per share. A high (low) PtE ratio is often an indicator of market sentiment in the continued growth (decline) of a firm's earnings. share price= earnings per share

a ratio commonly used in fundamental analysis calculated by dividing the companyâ€™s stock price by its current or projected earnings

See price/earnings ratio .

The price-earnings (â€œp/eâ€) ratio is an accounting ratio that is concerned with measuring the overall profitability of a business based in relation to the equity shareholders who will share in that profit. The p/e ratio is defined as the share price divided by the earnings per share. Broadly speaking, the higher a businessâ€(tm)s P/E ratio, the more expensive the business and the more highly rated it is. (See also earnings per share)

A popular way to compare stocks selling at various price levels. The P/E ratio is the price of a share of stock divided by earnings per share for a 12-month period. For example, a stock selling for $50 a share and earning $5 a share is said to be selling at a price-to-earnings ratio of 10.

The relationship between a company's earnings and its share price, calculated by dividing the current share price of a stock by its earnings per share for a twelve month period. AKA: Outside director, independent director

A stock's price divided by its reported annual earnings per share.

A ratio to evaluate a stock's worth. It is calculated by dividing the stock's price by an earnings-per-share figure. If calculated with the past year's earnings, it is called the trailing P/E. If calculated with an analyst's forecast for next year's earnings, it is called a forward P/E. The biggest weakness with either type of P/E is that companies sometimes "manage" their earnings with accounting wizardry to make them look better than they really are. Thatâ€(tm)s why some analysts prefer to focus on the price-to-cash flow measure instead.

This is the market price per equity share divided by EPS. Better put as the number of times its own earnings that a stock is selling for in the stock market. It is a popular valuation tool and factors in tangibles and intangibles like growth prospects, quality of management, liquidity in the scrip and quality of earnings. It is popularly known as the PE.

The ration obtained by dividend the prices of a stock share by its associated earnings per share.

The price of a share divided by the company's annual earnings per share. This shows how much investors are paying for a company's earning power. The higher the P/E, the more investors are paying, and therefore more earnings growth is expected.