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Topic: Business
Number of pages / Number of words: 9 / 2496
Essay's paper body

1.2 Price Earnings Ratio. The Price

Earnings Ratio (PE ratio) is a measure of market confidence in the shares of a

company. Also the PER play a significant role not only in the company itself,

but on the industry in which it operates and, of course, on the level of the stock

market, which tends to rise more than reported profits when the business cycle

swings up and to fall more than profits in a downturn...


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Also the PER play a significant role not only in the company itself,

but on the industry in which it operates and, of course, on the level of the stock

market, which tends to rise more than reported profits when the business cycle

swings up and to fall more than profits in a downturn. Arithmetically, the ratio

measures the number of years it would take to repay the share's current value

in earnings...


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