Super Finance Glossary

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Over 10,000 financial glossary terms...

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P/E Ratio

P/E Ratio
Definition: Current stock price divided by trailing annual earnings per share or expected annual earnings per share. Assume XYZ Co. sells for $25.50 per share and has earned $2.55 per share this year; $25.50 = 10 times $2.55. XYZ stock sells for ten times earnings.
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