P/E ratio for Gamma Communications (GAMA.L)
P/E ratio at the end of 2021: 27.5
According to Gamma Communications's latest financial reports and stock price the company's current price-to-earnings ratio (TTM) is 2177.43. At the end of 2021 the company had a P/E ratio of 27.5.
P/E ratio history for Gamma Communications from 2014 to 2021
PE ratio at the end of each year
| Year | P/E ratio | Change |
|---|---|---|
| 2021 | 27.5 | 22.97% |
| 2020 | 22.4 | -36.01% |
| 2019 | 35.0 | 41.82% |
| 2018 | 24.7 | 1.03% |
| 2017 | 24.4 | 0.44% |
| 2016 | 24.3 | 36.9% |
| 2015 | 17.7 | -3% |
| 2014 | 18.3 |
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.