To calculate a P/E ratio, which refers to a price-to-earnings ratio, simply divide the price of the stock by the earnings. Calculate price-to-earnings ratio, always looking for the lowest number as the highest return, with financial advice from an experienced portfolio manager in this free video on investing.
Expert: Gregory Bramwell-Smith
Bio: Gregory Bramwell-Smith is the relationship and portfolio manager at Bramwell-Smith Associates.
Filmmaker: David Pakman
Good explanation. But as you said.. taking into account the industry is very important for example a tech stock and on the other hand an oil stock maybe.
sjs2011 2 years ago