Stock Ratios Calculator
Calculate P/E, P/B, PEG, dividend yield, payout ratio and earnings yield for a stock.
About the Stock Ratios Calculator
Valuation ratios compare a share's price with what the company earns, owns and pays out. P/E is price per dollar of earnings; earnings yield is its inverse. PEG divides P/E by expected growth, so a fast grower can justify a higher P/E. P/B compares price with net assets. Compare with the company's own history and its peers rather than a fixed 'good' number.
The formula
P/E = price ÷ EPS; PEG = P/E ÷ growth %; dividend yield = DPS ÷ price; payout = DPS ÷ EPS
Worked example
Example: P/E ratio = 24.29
- Inputs: Share price: $170; Earnings per share (EPS, last 12 months): $7; Book value per share: $44; Expected EPS growth: 13 % a year; Dividend per share (annual): $2.
- Formula: P/E = price ÷ EPS; PEG = P/E ÷ growth %; dividend yield = DPS ÷ price; payout = DPS ÷ EPS
- Result: P/E ratio = 24.29
Questions people ask
What's a normal P/E?
The S&P 500 has averaged roughly 15–20 over the long run; it varies a lot by sector.
Why might P/E be negative?
The company lost money; P/E isn't meaningful then.