What is the meaning of Price-to-Earnings Ratio?

Price-to-Earnings Ratio is the relationship between a company's earnings and its share price, calculated by dividing the current share price of a stock by its earnings per share for a twelve month period. AKA: Outside director, independent director.

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APABarry Goldsmith. (2010). price-to-earnings ratio. Retrieved October 1, 2026, from http://smartdefine.org/price-to-earnings_ratio/definitions/1161075
ChicagoBarry Goldsmith. 2010. "price-to-earnings ratio" http://smartdefine.org/price-to-earnings_ratio/definitions/1161075 (accessed October 1, 2026).
HarvardBarry Goldsmith 2010, price-to-earnings ratio, Smart Define, viewed 1 October, 2026, <http://smartdefine.org/price-to-earnings_ratio/definitions/1161075>.
MLABarry Goldsmith. "price-to-earnings ratio" 21 October 2010. Web. 1 October 2026. <http://smartdefine.org/price-to-earnings_ratio/definitions/1161075>
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