Guide to Price Earnings Ratio: Formula, Examples, & More
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Sindhuri on Instagram: "How do I know if a stock is cheap or expensive?” The answer: P/E ratio — one of the simplest yet most powerful tools in investing. It basically tells you how much you’re paying for every dollar the company earns. If a stock’s P/E is higher than its industry average, investors are paying a premium — maybe because they expect faster growth. If it’s lower, the stock might be undervalued. Learning this one concept can save beginners from overpaying for hype stocks 🚫 and help
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