Stand-alone, the P/E ratio is a valuation metric that measures a company's stock price compared to its earnings per share, but one of its shortcomings is it doesn't consider a company's expansion. PEG goes a step further to help estimate the future growth of a company. The PEG is co...
PEG ratio(Price/Earnings-to-Growth),即:市盈率与增长比率。该比率是用来衡量一家公司估值的重要工具,它也是美国传奇基金经理彼得.林奇(Peter Lynch)所钟爱的估值工具之一。 PEG ratio的计算方法为: 版权声明:如无特别说明,本站所有文章均由睿珑(Ruilong-edu.com)原创。我们欢迎少量文字引用,但请注明出处。任何网...
How to Calculate the Ratio of a Selling Price to an Asking Price Calculating the ratio of selling to asking price is useful knowledge during any transaction that involves a negotiated price. Becoming a good stock-picker takes time and talent. We show you the way. ...
Another way is to look at companies as a whole. If investors are willing to pay more for a dollar of earnings of Company A than Company B – all else being equal – we could argue that the brand of Company A is stronger than that of Company B. The Importance of the PEG Ratio Gener...
They should also be high on your list—particularly for shares you plan to own for a while—because they tell you a lot about a company’s health and competitive environment. Ratios. The price-to-earnings (P/E) ratio is the closest thing to a price tag on a stock. To calculate P/E...
How to Interpret the PEG Ratio Using the examples above, the PEG ratio tells us that ABC Industries' stock price is higher than its earnings growth. This means that if the company doesn't grow at a faster rate, the stock price will decrease. XYZ Micro's PEG ratio of 0.75 tells us tha...
The PE ratio is a comparison between the current stock price of a company and the company’s current earnings. A high PE ratio could mean that the stock is overvalued. A low PE ratio might mean that the stock is undervalued. There are three different methods to calculate the price-to-...
To calculate a company's EPS, the balance sheet and income statement are used to find the period-end number of common shares, dividends paid on preferred stock (if any), and the net income or earnings. It is more accurate to use a weighted average number of common shares over the report...
While owning dividend aristocrats is great due to the consistent dividend increase, wouldn’t it be nice to find a dividend paying stock with an uber-high dividend growth rate with the potential to be the next dividend aristocrat in a few years? This is where you may want to look into div...
But if the number of outstanding shares changes close to the end of the year, taking the closing number of outstanding shares will give us a distorted picture. Hence a weighted average is preferred. Once we calculate the EPS we just need to divide the MPS with it to get the P/E ratio...