price-earnings ratio

[ prahys-ur-ningz ]
/ ˈpraɪsˈɜr nɪŋz /

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

QUIZZES

TAKE THIS QUIZ IF A DAZZLING VOCABULARY IS YOUR DESIDERATUM!

Have the Words of the Day from October 19–25, 2020, made an indelible mark on your memory? Take the quiz to find out!
Question 1 of 7
What does “clement” mean?
Also called price-earnings multiple.

Origin of price-earnings ratio

First recorded in 1960–65
Dictionary.com Unabridged Based on the Random House Unabridged Dictionary, © Random House, Inc. 2020

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 Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009, 2012