Contact
PER is an indicator of how many times the share price is bought.
It is the entrance to see the allocation and allocation of shares, but it is not possible to make investment decisions only by PER.
What is PER?
PER is referred to as the share price revenue rate.
This is an indicator to see how high the stock price is evaluated for the company's profit.
PER = Stock Price ÷
Net income per share
For example, if stock price is 1,000 yen,株 is 100 yen, PER is 10 times.
How to read
The lower the PER, the lower the share price.
However, it is not always a discount because it is low PER.
The market may be highly evaluated by incorporating business performance deterioration and growth dullness.
| PER status | 見方 |
|---|---|
| High | Strong growth potential |
| Low | Can be vacant or anxious material |
Notes
PER is an easy-to-use indicator as a company with stable profits.
PER may not be computed for alphanumeric companies.
In addition, when、 increases due to temporary special interests, PER may appear low.
PER is a basic indicator to see the relationship between stock price and profit.
Beginners should check with the quality, growth, and industry averages of their profits without deciding as low PER.