Advertisement
2
Discussion (2)
Learn how to style your text
Reply
Save
Write your thoughts
Related Articles
Related Posts
Related Products
4.7
482 Reviews
From $0
MINIMUM FEE
0.03%
TRADING FEES
Custodian
STOCK HOLDING TYPE
4.5
957 Reviews
4.9
127 Reviews
Related Posts
Advertisement
The purpose of using financial ratios is for comparison between competitors of the same sector. Companies from different industries would have vastly different average P/E ratios.
Knowing the industry P/E allows you to gauge whether the company is potentially over or under-priced within the industry. You can look for the data at Bloomberg under marketssectors.