The P/E ratio is defined as: However, with Trailing Price to earnings (P/E) the earnings per share is the net income of the company for the most recent 12 month period, divided by the weighted average number of common shares in issue during the period. Monthly earning data for individual companies are not available, so […]
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Enterprise value (EV) is an economic measure reflecting the market value of a whole business. It is a sum of claims of all the security-holders: debt holders, preferred shareholders, minority shareholders, common equity holders, and others. Enterprise value is one of the fundamental metrics used in business valuation, financial modeling, accounting, portfolio analysis, etc. EV
Market capitalization (or Market Cap) is the total value of the tradable shares of a publicly traded company; it is equal to the share price times the number of shares outstanding. As outstanding stock is bought and sold in public markets, capitalization could be used to represent company’s net worth and is a determining factor
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Market Capitalisation Enterprise Value Trailing Price to Earnings Ratio Forward Price to Earnings Ratio
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A financial market is a broad term describing any marketplace where buyers and sellers participate in the trade of assets such as equities, bonds, currencies and derivatives. Financial markets are typically defined by having transparent pricing, basic regulations on trading, costs and fees, and market forces determining the prices of securities that trade. Financial markets can be found in nearly
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