What are the drawbacks of relying solely on peer comparisons?

Mar 13, 2020 ... PEG ratio is a good alternative. If a high PE doesn't have a low PEG it could be overvalued. PEG is less useful for established large MNCs ... Mar 6, 2025 ... A low P/E could indicate investors are skeptical about growth prospects or that the stock is potentially undervalued. This ratio is most ... Price earnings ratio (PE ratio) is the rupee value that you are willing to ... For the above reasons it is good to take other fundamental metrics and ... Aug 23, 2023 ... And currently, its average PE ratio is 22.77. Hence, if the P/E ratio of the company is below 22.77, it will be considered good, and if it ... Jul 21, 2023 ... Investing in companies with high P/E ratios can be beneficial due to their potential for steady growth and stability, but it also comes with ... Traditionally, the PE ratio has hovered around the 10-15x range. Of course, the good companies have taken on valuations on the higher end (around 15x earnings) ... A better way to tell if a stock has a good P/E Ratio is to compare it against industry averages and growth expectations. Average P/E Ratios generally range from ... Mar 29, 2025 ... All else equal, the lower the P/E ratio the better. A stock with a low P/E ratio might be a good investment because you're spending less on ... Jan 23, 2024 ... The average P/E ratio for the market is around 20 to 25. A ratio below this range could suggest a bargain, while a ratio above this range could ... What Is a Good Price-to-Earnings Ratio? The answer depends on the industry ... "S&P 500 PE Ratio - 90 Year Historical Chart." Yahoo Finance. “FedEx ...