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What is PE ratio of a share?

September 8, 2008
The Indian stock markets are going through a rough patch currently. While the Sensex climbs up by more than 500 points one day it lops off another 300 points the very next day.

How can investors keep their faith in such a market?

Here's quiz on ratios of five fundamental concepts that will help you identify value in stocks.

1. What is PE ratio of a share?

Price earnings ratio
Price equivalent ratio

Also read: A tale of three home loan EMIs

Photograph: SAJJAD HUSSAIN/AFP/Getty Images

Disclaimer: This quiz is designed only for educative purpose. The options offered in this quiz, though true, are simplified and may not conform exactly with all concepts of economics .

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