Markets & Investing
Price earnings ratio
Use this price earnings ratio calculator with entered share price and comparable annual EPS to calculate P/E or show why it is not meaningful.
Your inputs
Complete only the fields for your selected method. Use one consistent job or reporting period. Zero means intentionally zero, not unknown. Missing costs and market rates are not added automatically. Currency selection labels amounts; it does not convert exchange rates.
How this calculation works
P/E = price per share / positive annual EPS
Choose trailing or forward annual EPS explicitly and keep its currency and share basis consistent with price. P/E does not account for debt, cash, earnings quality or growth; it is not a fair-value conclusion. Educational arithmetic from entered figures, not an investment recommendation, valuation opinion, forecast or guarantee. Taxes, inflation and foreign-exchange changes are excluded unless explicitly entered. Use one currency throughout; currency selection only changes labels.
What information do I need?
Use records for the same job, equipment or accounting period. Only the fields for your selected entry method are required. An unknown amount is not zero.
Input definitions and where to find them
- Price per share (selected currency): Use matching records or an explicitly identified assumption for price per share. Unknown is not the same as zero.
- Annual EPS (trailing or assumed forward) (currency per share): Use matching records or an explicitly identified assumption for annual eps (trailing or assumed forward). Unknown is not the same as zero.
Use the Where to find this value controls beside the inputs for available work-it-out helpers. Estimates remain your assumptions; a helper does not verify the source figures.
Worked example
Example amounts use US dollars (USD).
Example answer: Price / annual earnings is 20.000000 times for the illustrative inputs below.
Example inputs
- Price per share: $50.00
- Annual EPS (trailing or assumed forward): 2.50 currency per share
- Price / annual earnings
- 20.000000 times
These illustrative values are not recommended rates or industry averages. Replace every example input with your own figures.
Use the result well
Use this price earnings ratio calculator with entered share price and comparable annual EPS to calculate P/E or show why it is not meaningful.
Keep inputs on the same scope and time basis. Calculations retain precision internally; displayed values generally round to two decimal places, with extra precision for very small values and whole-unit rounding where required. Economic comparisons describe your supplied assumptions and do not guarantee future results.
This tool provides business arithmetic. It does not approve engineering designs, establish legal or tax treatment, select equipment or certify safe operating conditions.