SpaceX has reached profitability, driven by the rapid expansion of Starlink. The shifting political landscape could further ...

JPMorgan Chase & Co (JPM) stock saw a decline, ending the day at $244.82 which represents a decrease of $-1.43 or -0.58% from the prior close of $246.25. The stock opened at $248.23 and touched a low ...

Dollar Tree Inc (DLTR) stock saw a modest uptick, ending the day at $72.81 which represents a slight increase of $1.54 or 2.16% from the prior close of $71.27. The stock opened at $71.78 and touched a ...

But to really dig down into the valuation of a stock you'll want to understand some key financial ratios to compare the health of a company with its peers, its industry and itself over time.

Comparative ratios using EV—such as a comparison of EV to earnings before interest and taxes (EBIT)—demonstrate how EV works better than market cap for assessing a company's value ...

EPS is a key component of the price-to-earnings (P/E) valuation ratio. Divide the share price by EPS and you get a multiple denoting how much we pay for $1 of a company’s profit. In other words ...

A company with slow-growing or very volatile profits should trade on a low p/e ratio, whereas one that can keep growing at a much faster rate merits a higher valuation. However, deciding exactly ...

Understanding P/E ratios is crucial for assessing stock value. Investors use P/E and PEG ratios to compare stocks in similar industries. Consider factors that aren't easily quantified, like a ...