facebookWhen it comes to stock investing, I commonly see this term P/E Ratio? - Seedly

When it comes to stock investing, I commonly see this term P/E Ratio?

Could you explain simply, (preferably in layman terms) what this means to the beginner investor?

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TUBInvesting

28 Mar 2019

Finance at Singapore Management University

This is the Price to Earning Ratio. It also means the share price per share you are paying for the earning per share.

Basically, you how you are paying for $1 of the earnings. Hope I am correct on this! haha.

It is also sort of a price expectation of how the share price will go if the company continues to GROW the SAME way.

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