What is a good EPS and P/E Ratio? There’s no definition of a “good” or “bad” EPS value. But all other things being equal, the higher a company’s EPS is, the better. The opposite is true for a company’s price-to-earnings (P/E) ratio. In most cases, the lower a compa...
What is a good alpha? A good alpha is in the eye of the beholder. One could argue that any positive alpha is “good” because it indicates an investment outperformed the market. However, an alpha that is very high often comes with greater risks. In investing, the level of potential risk...
What Is a Good P/E Ratio? There's no fixed value for a good P/E ratio. A good P/E ratio varies depending on the industry, company-specific factors, and market conditions. Generally, a P/E ratio between 15 and 25 is considered to be a moderate range, while a P/E ratio above 25...
“Safety 1st” PEG Ratio- An Intelligent Growth Estimate for a Margin of SafetyA big problem for value investors using ratios to evaluate stocks is incorporating growth into the evaluation. Without growth, a stock likely won’t revert to... ...
Value Stock Definition A value stock is a stock whose price is lower than its intrinsic value, where intrinsic value is determined by measures such as a firm’s revenues,earnings per share(EPS), dividend payouts or other underlying factors. ...
What is P/E value, Book Value and EPS? What should their value before investing?Ratios in valuation:In fundamental analysis, key valuation ratios are used to calculate the intrinsic value of the stock depending on some of its financial ratios. Some of the valuation ratios are...
revolutionary business phenomenon.A more complete definition is:E-commerce is the use of electronic communications and digital information processing technology in business transactions to create,transform,and redefine relationships for value creation between or among organizations,and between organizations and ...
③ The ebit eps analysis. Its core is to determine under what circumstances depending on the ebit (EBIT profit) eps, (after-tax net income per share) to identify the debt and debt-free balance point, a good debt and what under no debt good. ...
Financial leverage is the concept of using borrowed capital as a funding source. Leverage is often used when businesses invest in themselves for expansions, acquisitions, or other growth methods. It's also an investment strategy that uses various financial instruments or borrowed capital to increase ...
warrants, andrestricted stock units (RSU)and they're exercised. The diluted EPS assumes that all shares that could be outstanding have been issued. This is a more conservative way of using EPS and it's often preferred by analysts compared to non-diluted...