Should you always avoid stocks with high P/E ratios? Can high-growth companies justify higher P/E ratios?

Jan 4, 2024 ... In very general terms, a high P/E ratio indicates a stock is expensive, while a low P/E ratio suggests that it is inexpensive. However, it's ... As you've probably figured out already, PE ratios offer a good starting point for stock valuation but don't give you all the answers and information you'll need ... May 18, 2022 ... Over history, the average P/E ratio of the stock market has been around 15-17. But the average P/E of the stock market has fluctuated for many ... Jun 21, 2023 ... A good P/E ratio typically ranges from 15 to 25, aligning with market averages. However, different industries and growth companies might have higher ratios due ... Nov 2, 2020 ... The price/earnings ratio is one of the most commonly used measures in equity investing. But what is it and how can it help you? Aug 9, 2024 ... A good PE ratio is subjective. It can vary depending on the industry, growth prospects, and financial health of the company. However, it is ... Oct 20, 2022 ... There is no such thing as a good or bad ratio. Ultimately, the ratio is relative: A ratio is either high or low only when compared to other ... P/E ratio, 15, 10. Even though Company B's shares are more expensive, they're better value. You're paying less for each pound of profits. It can sometimes be ... Average PE of Nifty in the last 20 years was around 20.* So PEs below 20 may provide good investment opportunities; lower the PE below 20, more attractive the ... A "good" PE ratio depends on industry standards and market conditions. It is advisable to compare Adani Power Ltd PE ratio with its historical average and ...