P/E ratio for Mahanagar Gas (MGL.NS)
P/E ratio as of April 2024 (TTM): 12.0
According to Mahanagar Gas's latest financial reports and stock price the company's current price-to-earnings ratio (TTM) is 12.0004. At the end of 2022 the company had a P/E ratio of 11.2.
P/E ratio history for Mahanagar Gas from 2016 to 2023
PE ratio at the end of each year
| Year | P/E ratio | Change |
|---|---|---|
| 2022 | 11.2 | -10.6% |
| 2021 | 12.6 | -31.23% |
| 2020 | 18.3 | 32.13% |
| 2019 | 13.8 | -19.8% |
| 2018 | 17.3 | -26.11% |
| 2017 | 23.3 | 13.51% |
| 2016 | 20.6 |
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.