According to Fairfax India Holdings's latest financial reports and stock price the company's current price-to-earnings ratio (TTM) is 6.59821. At the end of 2022 the company had a P/E ratio of 8.90.
Year | P/E ratio | Change |
---|---|---|
2022 | 8.90 | 137.81% |
2021 | 3.74 | -109.74% |
2020 | -38.4 | -1114% |
2019 | 3.79 | -81.83% |
2018 | 20.8 | 332.11% |
2017 | 4.82 | -57.82% |
2016 | 11.4 | -52.45% |
2015 | 24.0 |
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.