hi...won't the price of $100 change over different periods...i believe its the market price....so accordingly the p/e ratio should also vary...isn't it so
Question: Let's say for 2012, the P/E is 6.25 (using the example in the lesson)...how can I use that number to evaluate the market value of that share in 2012?
is EPS like a dividend? because the dividend is what i will earn from my shares, EPS is much higher than dividends and is a figure that is not even close to what i receive.
No usually when you calculate Earnings Per Share, You subtract the dividends from the Net Income divided by the shares outstanding. So essentially the EPS comes after taking out the dividends paid. Think of it this way, the dividends paid to shareholders are not counted in the EPS. Although I could be wrong as what i'm talking about is preferred dividends.
Great video. I think you did a good job at explaining why valuation is not limited to price/share, which is misunderstood by the vast majority of retail investors.
reupload this in 720p :D
BlTCHEZAlNTSHlT 1 month ago
hi...won't the price of $100 change over different periods...i believe its the market price....so accordingly the p/e ratio should also vary...isn't it so
mrcibaca 1 month ago
ive learn a lot from this vid
makeiteasyable 2 months ago
Ron Paul 2012 also read Mark Skousens book "Economics on Trial" and George Reismans book "The Governments vs. The Economy"
RunLiberty 11 months ago
hardly learnt a shit!
trollwarlord3 1 year ago
I really liked this. I never quite got what P/E was or how to use it when considering a company's potential price!
booil 1 year ago
Question: Let's say for 2012, the P/E is 6.25 (using the example in the lesson)...how can I use that number to evaluate the market value of that share in 2012?
redplastic 2 years ago
Good definations to P/E. simple and logic tips.thanks for sharing,Merry Christmas.
Bnhappyworld 2 years ago
is EPS like a dividend? because the dividend is what i will earn from my shares, EPS is much higher than dividends and is a figure that is not even close to what i receive.
seanyb12345 2 years ago
No usually when you calculate Earnings Per Share, You subtract the dividends from the Net Income divided by the shares outstanding. So essentially the EPS comes after taking out the dividends paid. Think of it this way, the dividends paid to shareholders are not counted in the EPS. Although I could be wrong as what i'm talking about is preferred dividends.
vinniepaz730 2 years ago
Thanks for the very interesting and informative video that really explains P/E Ratios in an easily digestable format.
threestyler 2 years ago
Great video. I think you did a good job at explaining why valuation is not limited to price/share, which is misunderstood by the vast majority of retail investors.
siggyboss 2 years ago
1st everything 5/5
octan488 2 years ago