Price to Earnings (P/E) Ratio and Earnings Per Share (EPS) Explained

This video provides a basic introduction into the price to earnings ratio and earnings per share value. It explains how to calculate the P/E ratio using two simple formulas and how to calculate the EPS value using the earnings of a company minus any preferred dividends divided by the shares outstanding. The P/E ratio can be calculated by dividing the price of the stock by the EPS value. It can also be calculated by dividing the market capitalization of the company by the total earnings.

Stock Trading For Beginners:

Return on Investment:

The Dividend Yield:

Dividends - Payout Ratio Vs Retention Ratio:

Market Capitalization:

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PEG Ratio Vs Price To Earnings Ratio:

Trailing PE Vs Forward PE Ratio:

Price to Sales (P/S) Ratio:

Price to Book (P/B) Ratio:

Currency Exchange Rate:

Profit Margin & Operating Margin:

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Return on Assets (ROA) and Return on Equity (ROE):

Debt to Equity Ratio:

Liquidity Ratios:

Assets, Liabilities, & Equity:

The Short Ratio:

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Math and Science Videos:

[Juniorrs.exe-]

I love how this channel does everything to do with numbers

[essayprometheus]

bro literally yesterday i was watching your calculus videos to prepare for next semester. and now today, youre helping me learn stocks. what cant you do?

[michaeldacosta]

Excellent video! The exercises at the end were a great decision for solidifying the concepts

[DRMath]

Well explained with examples. I really like the way you set up the study material. Thanks for sharing the knowledge with others!!
Peace ✌️

[JoelGKSAvlogsTV]

Will explained regarding how to calculate the absolute the rate, thanks for sharing

[MundoTheTowo]

This video was very helpful and straightforward

[aaranchauhan]

You do accounting and finance too!? This channel has everything

[jamestroy]

Thank you for this lesson It is most appreciated

[wp]

Thank you so much. Could never understand this before

[SQUNTZ]

Holy crap, I watched your video last week for Organic Chemistry homework and now I'm watching ur P/E video as I'm learning stocks.

When I started the video and heard your voice, I thought I clicked on a Chemistry video LOL

[humphreylinda]

First time viewer, loved it...quick question, how do calculate the average 5 year of earnings of a stock ?

[apopj]

omg the organic chemistry tutor knows finance

[bpdoc]

You should definitely do more finance videos. Also, they're really hard to find amongst all the other videos.

[khalidhabbash]

Your voice reminds me of my final exams

[SETUBANDHIIII]

What do you mean when you say outstanding shares?

[harrywotter]

what is another name for outstanding shares

[geraldomedrano]

Where do you get your information from? Hope you don't take my question the wrong way, but I am genuinely interested where youre learning this from since I'm interested in learning more about finance.

[tudutapas]

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[Shabeerxp]

Hai dear can you tell, these earnings here we using is yeraly earnings or quarterly or monthly??

[OrganicAlumination]

Im just trying to figure out where preferred and common stocks come into play in the equation... like net income minus preferred dividends, but what about the shareprices? because the number of shares is different then the prices.