This approach is used regularly by security analysts to measure a stock's relative value, or how much
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Question:
This approach is used regularly by security analysts to measure a stock's relative value, or how much investors are willing to pay for a dollar of the company's earnings. It is found by dividing the price per share by the earnings per share and is called the
A) P/E ratio.
B) technical industry analysis.
C) fundamental analysis.
D) discounted dividends valuation.
E) market-to-price ratio.
Related Book For
Introduction to Business Law
ISBN: 9780324826999
3rd Edition
Authors: Jeff rey F. Beatty, Susan S. Samuelson
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