Claire Boyte-White is the lead writer for NapkinFinance.com, co-author of I Am Net Worthy, and an Investopedia contributor. Claire's expertise lies in corporate finance & accounting, mutual funds, ...

The price-to-earnings (P/E) ratio, earnings per share (EPS), and earnings yield are all financial metrics used to evaluate a company. The P/E ratio can reveal if a stock is overvalued or undervalued ...

Evaluating investments can be confusing for beginner investors, especially because so many different financial indicators work together to indicate whether a company is a good investment. Below is a ...

The earnings per share formula is useful for valuing stocks. It’s a key part of the widely-used price-to-earnings ratio. And by gaining a better understanding of these concepts, you can make better ...

The price-earnings ratio is the second major valuation ratio profiled in Axel Tracy's book, Ratio Analysis Fundamentals: How 17 Financial Ratios Can Allow You to Analyse Any Business on the Planet.

Financial ratios are powerful tools when it comes to investing. Terms like "P/E" and "PEG" get thrown around a lot, but many investors don't know what they mean or how they're used. While they may ...