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price-earnings ratio
[ prahys-ur-ningz rey-shoh, -shee-oh ]
/ ˈpraɪsˈɜr nɪŋz ˌreɪ ʃoʊ, -ʃiˌoʊ /
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noun
the current price of a share of common stock divided by earnings per share over a 12-month period, often used in stock evaluation. Abbreviations: P/E, p/e, PE, P-E, p-e
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Also P/E ra·tio [pee-ee-rey-shoh, -shee-oh] /ˈpiˈi ˌreɪ ʃoʊ, -ʃiˌoʊ/ .
Also called price-earn·ings mul·ti·ple [prahys-ur-ningz muhl-tuh-puhl] /ˈpraɪsˈɜr nɪŋz ˌmʌl tə pəl/ .
Origin of price-earnings ratio
First recorded in 1960–65
Words nearby price-earnings ratio
price controls, price-cut, price cutting, price discrimination, price-dividend ratio, price-earnings ratio, price fixing, price gouging, price index, price leadership, priceless
Dictionary.com Unabridged
Based on the Random House Unabridged Dictionary, © Random House, Inc. 2023
How to use price-earnings ratio in a sentence
British Dictionary definitions for price-earnings ratio
price-earnings ratio
noun
the ratio of the price of a share on a stock exchange to the earnings per share, used as a measure of a company's future profitabilityAbbreviation: P/E ratio
Collins English Dictionary - Complete & Unabridged 2012 Digital Edition
© William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins
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