Investment Insights
February 06 2020

The P/E Ratio: A User's Manual

27 min listen

Steven Bleiberg, Managing Director, Portfolio Manager, TD Epoch

Does a stock’s price and its P/E ratio tell you how much a company is worth? Conventional wisdom says yes, but we think otherwise. In this episode, explore the theory behind the discounted cash flow (DCF) valuation model and the underappreciated role that ROIC plays. Also, learn how we can use what we have learned about the DCF model to deconstruct P/E ratios in the real world. 

 

Related content

July 16 2024 - 38 min listen
November 19 2024 - 27 min listen

More by this Author

October 31 2023 - 30 min read
June 29 2023 - 20 min listen