P/E ratio for Ambuja Cements (AMBUJACEM.NS)
P/E ratio as of May 2024 (TTM): 47.2
According to Ambuja Cements 's latest financial reports and stock price the company's current price-to-earnings ratio (TTM) is 47.1998. At the end of 2021 the company had a P/E ratio of 27.0.
P/E ratio history for Ambuja Cements from 2016 to 2023
PE ratio at the end of each year
| Year | P/E ratio | Change |
|---|---|---|
| 2021 | 27.0 | 28.94% |
| 2020 | 20.9 | 12.52% |
| 2019 | 18.6 | -9.43% |
| 2018 | 20.5 | -41.51% |
| 2017 | 35.1 | -5.44% |
| 2016 | 37.1 |
How to read a P/E ratio?
The Price/Earnings ratio measures the relationship between a company's stock price and its earnings per share. A low but positive P/E ratio stands for a company that is generating high earnings compared to its current valuation and might be undervalued. A company with a high negative (near 0) P/E ratio stands for a company that is generating heavy losses compared to its current valuation.
Companies with a P/E ratio over 30 or a negative one are generaly seen as "growth stocks" meaning that investors typically expect the company to grow or to become profitable in the future.
Companies with a positive P/E ratio bellow 10 are generally seen as "value stocks" meaning that the company is already very profitable and unlikely to strong growth in the future.