# Price Earnings Ratio Calculator

Online Calculator to figure out the Price to Earnings ratio of a particular share which usually is the ratio from the market price for each equity share to revenue per share.

Higher ratio means, far better the probabilities for purchasing the share

 Enter the price per share \$ Earnings per share \$ P/E ratio

Price to earnings ratio is just about the well-known indicator utilized by traders for valuing stocks and shares. It's the ratio of the corporation's stock value to its earnings for each share. (Earnings for each share or EPS can be a corporation's net income divided by the quantity of shares it issued.) One other way of studying the P/E ratio can be as a ratio from the value the market considers a business deserves to its net gain.

## Price Earnings Ratio Formula

Price earnings ratio of an organization is 10. It indicates the income for each share of the organization is covered ten times through the market price of the company's share. Put simply, \$1 of income features a market price of \$10.