P/E ratio for Cara Therapeutics (CARA)
P/E ratio as of August 2022 (TTM): -6.47
According to Cara Therapeutics 's latest financial reports and stock price the company's current price-to-earnings ratio (TTM) is -6.46629. At the end of 2021 the company had a P/E ratio of -7.04.
P/E ratio history for Cara Therapeutics from 2014 to 2022
PE ratio at the end of each year
| Year | P/E ratio | Change |
|---|---|---|
| 2021 | -7.04 | |
| 2019 | -6.47 | 2.52% |
| 2018 | -6.31 | -1.52% |
| 2017 | -6.41 | 44.86% |
| 2016 | -4.42 | -73.76% |
| 2015 | -16.9 | 43.74% |
| 2014 | -11.7 |
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.