Back to Tools

Price to Earnings Ratio

Calculate P/E ratio for stock analysis.

Price to Earnings Ratio Calculator - Stock Analysis Tool

Price to Earnings Ratio Calculator

Calculate P/E ratio to evaluate stock valuation and compare investment opportunities across different companies and sectors.

P/E Ratio Calculator

Alternative: Calculate using total values

Results

P/E Ratio:
Interpretation:
Earnings Yield:

Industry P/E Ratio Benchmarks

P/E Ratio Interpretation Guide

0-15

Undervalued

Stock may be undervalued or company faces challenges

15-25

Fair Value

Reasonable valuation for established companies

25+

Overvalued

High expectations or potential overvaluation

Understanding P/E Ratio

What is P/E Ratio?

The Price-to-Earnings ratio measures how much investors are willing to pay per dollar of earnings. It's calculated by dividing the stock price by earnings per share.

Formula:

P/E Ratio = Stock Price ÷ Earnings per Share

Key Considerations:

  • • Compare P/E ratios within the same industry
  • • Consider growth prospects and risk factors
  • • Look at forward P/E for future expectations
  • • High P/E may indicate growth expectations
  • • Low P/E may suggest undervaluation or problems
  • • Negative earnings result in negative P/E
v1.0.0.758733

Get Results of Price to Earnings Ratio via Email

Save your calculations and get detailed breakdowns

We respect your privacy. No spam, unsubscribe anytime.

v1.0.0.758733