In the real world (not the stock market), we would aim to sell a business at a PE ration of 2, as a rule of thumb. Stock market PE ratios are just really for information id say
This is quite educational. It's crucial for newcomers to keep in mind that the financial markets are highly irrational in the short run. You should constantly be ready for the unexpected. That is how chance operates. Because of the inherent risks in the market, I always favor long-term investments.
These uncertainties will always be there. Thing is, every once in a while, the market does something so stupid it takes your breath away. If youre not ready for it, you shouldnt be in the market business. or get you a skilled practitioner.
This is precisely why I like having a portfolio coach guide my day-to-day market decisions: with their extensive knowledge of going long and short at the same time, using risk for its asymmetrical upside and laying it off as a hedge against the inevitable downward turns, their skillset makes it nearly impossible for them to underperform. I've been utilizing a portfolio coach for more than two years, and I've made over $800,000.
'Carol Vivian Constable, a highly respected figure in her field. I suggest delving deeper into her credentials, as she possesses extensive experience and serves as a valuable resource for individuals seeking guidance in navigating the financial market.
I've owned NVDA for over 8 years. It's been up and down, but I believe in Jensen Huang and will stick with NVDA until Jensen says otherwise. I know that sounds crazy, but when the financial statements/Jensen, (same to me) tell me to sell, I will. I'm sure I won't sell at the top, but that's OK.
Kept $105k in CIT Bank HYSA at 5.05% but i now plan to invest in the stock market. What are your thoughts on that? What stocks should I look out for as a newbie to safely grow my money?
Apt!! I was self-managing my portfolio but suffered heavy losses in 2022 and i knew i couldn't continue like that, so i consulted a fiduciary advisor. By restructuring and diversifying my $1.2M portfolio with dividend-paying stocks, ETFs, Mutual funds and REITs, I significantly boosted my portfolio, achieving an annualized gain of 28%.
I regret selling stocks 2021 and my strategy ever since has been pretty much buying Gold and silver to protect my wealth but if I could come up with a way to profit from this bull run, that would be brilliant. I've missed so much already. can you share more info?
I don't comfortably throw recommendations around on the internet, but I've been working with ‘’Aileen Gertrude Tippy’’ God ! she's brilliant! I'm sure there are others who are good.
Thanks for sharing. I curiously searched for her full name and her website popped up after scrolling a bit. I looked through her credentials and did my due diligence before contacting her. Once again many thanks.
Thank you I’m new to investing and I’ve been trying to understand P/E ratio. After reading many lengthy articles, without having a clear idea, I happen across your video, and I have a better grasp of the subject. You earned a new subscriber, and I look forward to studying with you
Its worse here, our economy is like a flailing fish, fighting for its life. The normal state of the U.S. economy is actually very bad. Because of this it goes into convulsive spasms fighting to grow any way it can out of desperation. Tricks, gimmicks, rule changes try to stimulate the economy and prevent it from falling but they only bring temporary relief to people since, when you factor in inflation we are declining.
Inflation is gradually going to become part of us and due to that fact any money you keep in cash or in a low-interest account declines in value each year. Investing is the only way to make your money grow and unless you have an exceptionally high income, investing is the only way most people will ever have enough money to retire.
I've tried investing in the stock market several times but always got discouraged by fluctuations of stock value. I would be happy if you could advise me based on how you went about yours, as I am ready to go the passive income path.!!
Angela Lynn Schilling is her name. She is regarded as a genius in her area and works for Empower Financial Services. She’s quite known in her field, look-her up.
Really? because the s and p 500 has averaged 7% growth for decades. Seems like the US is s great long term investment. Mist powerful military in the world makes me think US firms will always be near the top
Every week I buy more of whatever is the lowest percentage of my portfolio and try to keep everything around 10%. Please what could be my safest buys with $400k to outperform the market in 2024?
Find quality stocks that have long term potential, and ride with those stocks. I have found it takes someone who is very familiar with the market to make such good picks.
I agree with you. I started out with investing on my own, but I lost a lot of money. I was able to pull out about $200k after the 2020 crash. I invested the money using an analyst, and in seven months, I raked in almost $673,000
Sharon Ann Meny is the licensed advisor I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.
Clean and simple making the explanation wonderfully clear. As you asked how do I use P/E: Contrary to popular opinion, I was taught the opposite. I was told that analysts pour over the numbers to calculate p/e and that actually a high p/e number is what the market is telling us that the company has better quality profits and the market is willing to pay a high premium for that stock. Test it out of previous stocks the numbers will tell the full story.
I’m a god of devaluation, I buy a stock and it goes down! Why I can't make earnings is beyond me. It can be annoying how volatile the market is. How can I ride this fresh wave of all-time highs without getting burned again with 450k set aside to get fully invested this year?
from my study, 90% of the time in an election year, the stock market stays positive for quite a long time. 2024 is no exemption, but it is better to be guided, ideally by a well experienced and licensed advisor
Certain Mag 7 companies are rumoured to be overvalued and might cause a market correction, I’d suggest you go with a managed portfolio, but even those don’t perform so well, so it’s best you reach out to a proper fiduciary to guide you, that’s what works for my spouse and I. We've made over 80% capital growth minus dividends.
I have been recentlt looking for some cartoonish videos to sit down and get my kids more focused on learning about the market. I will be using this channel for now. Great video
Question: today the P/E of TSLA is at 70 and Ford (F) is at 7. I believe that Tesla is a better company but as an investment Ford would be the better one. Right or wrong? TSLA at 70 still seems to be a much better investment.
It means tesla is extremely speculative. Volatile. Ford is closer to reality but also because tesla has futuristic technologies..innovative...Ford is not..low risk, low return
Hey bro just wanted to say that your account is really undervalued, you explain these things way better than investopedia, TD or any other video I have seen. Love that you include further explanations and use cases for these metrics. Keep it GREAT 🤝
I'm really impressed with your video. I'm planning to start my own RUclips channel with similar content and was wondering if you could share a bit about your video making process. How did you go about it. Any tips or advice would be really helpful. Thanks!
I have a question you say 50 or greater. I hear lots of people saying anything above 20 is bad what do you think about that ? Thank you for your videos I have learned a lot .
With nearly half of my stock holdings in a tech stock at an all-time high, I've sold and now have around $400k. Considering potential inflation, should I invest in ETFs or wait for a market correction?
Look up dividend aristocrats. Pick six to ten from that list. Those companies have a track record of 25+ years of paying dividends. Also, its advisable you work with a financial advisor to help set up a well-structured portfolio.
Right, a lot of folks downplay the role of advisors until being burnt by their emotions, no offense. During the covid-outbreak, I needed a good boost to stay afloat, hence researched for advisors and thankfully came across one with grit. As of today, my cash reserve has yielded from $350k to nearly $1m.
NICOLE DESIREE SIMON is the licensed fiduciary I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.
Thanks for sharing, I just looked her up on the web and I would say she really has an impressive background in investing. I will write her an e-mail shortly.
Hi! It's good to evaluate individual companies/stocks. but could we use P/E ratio to evaluate index fund or ETF performance? like VOO vs IVV would be the same coz they both track S&P 500. -- but how about comparing VOO vs QQQ (tracking the Nasdaq 100). TQ
I hope you correct me of i were wrong but isnt apple and amazon very different businesses? Apple develops gadgets like iphones, wile amazon is some kind of an online platform.. Shouldnt apple rather be compared to companies like samsung or huawei?
Inspiring people with this kind of video content is good job my friend. I am very proud of you,! Im just here to give you full support always, thank you my friend
How do you use PE ratio to value a company?
In the real world (not the stock market), we would aim to sell a business at a PE ration of 2, as a rule of thumb. Stock market PE ratios are just really for information id say
you need to consider the debt level
This is quite educational. It's crucial for newcomers to keep in mind that the financial markets are highly irrational in the short run. You should constantly be ready for the unexpected. That is how chance operates. Because of the inherent risks in the market, I always favor long-term investments.
These uncertainties will always be there. Thing is, every once in a while, the market does something so stupid it takes your breath away. If youre not ready for it, you shouldnt be in the market business. or get you a skilled practitioner.
This is precisely why I like having a portfolio coach guide my day-to-day market decisions: with their extensive knowledge of going long and short at the same time, using risk for its asymmetrical upside and laying it off as a hedge against the inevitable downward turns, their skillset makes it nearly impossible for them to underperform. I've been utilizing a portfolio coach for more than two years, and I've made over $800,000.
Mind if I ask you to recommend this particular coach you using their service?
'Carol Vivian Constable, a highly respected figure in her field. I suggest delving deeper into her credentials, as she possesses extensive experience and serves as a valuable resource for individuals seeking guidance in navigating the financial market.
I just copied and pasted her full name on my browser, super impressed with what I've seen so far. thanks for sharing!
This is the clearest video that explains P/E ratio. THANK YOU SO MUCH!!! I am going to watch more of your videos!!!!!🙏. New subscriber here!!
this is the best explanation of PE on the web, still since my last post
Bruh 💀
I've owned NVDA for over 8 years. It's been up and down, but I believe in Jensen Huang and will stick with NVDA until Jensen says otherwise. I know that sounds crazy, but when the financial statements/Jensen, (same to me) tell me to sell, I will. I'm sure I won't sell at the top, but that's OK.
Kept $105k in CIT Bank HYSA at 5.05% but i now plan to invest in the stock market. What are your thoughts on that? What stocks should I look out for as a newbie to safely grow my money?
Apt!! I was self-managing my portfolio but suffered heavy losses in 2022 and i knew i couldn't continue like that, so i consulted a fiduciary advisor. By restructuring and diversifying my $1.2M portfolio with dividend-paying stocks, ETFs, Mutual funds and REITs, I significantly boosted my portfolio, achieving an annualized gain of 28%.
I regret selling stocks 2021 and my strategy ever since has been pretty much buying Gold and silver to protect my wealth but if I could come up with a way to profit from this bull run, that would be brilliant. I've missed so much already. can you share more info?
I don't comfortably throw recommendations around on the internet, but I've been working with ‘’Aileen Gertrude Tippy’’ God ! she's brilliant! I'm sure there are others who are good.
Thanks for sharing. I curiously searched for her full name and her website popped up after scrolling a bit. I looked through her credentials and did my due diligence before contacting her. Once again many thanks.
Thank you I’m new to investing and I’ve been trying to understand P/E ratio. After reading many lengthy articles, without having a clear idea, I happen across your video, and I have a better grasp of the subject. You earned a new subscriber, and I look forward to studying with you
Its worse here, our economy is like a flailing fish, fighting for its life. The normal state of the U.S. economy is actually very bad. Because of this it goes into convulsive spasms fighting to grow any way it can out of desperation. Tricks, gimmicks, rule changes try to stimulate the economy and prevent it from falling but they only bring temporary relief to people since, when you factor in inflation we are declining.
Inflation is gradually going to become part of us and due to that fact any money you keep in cash or in a low-interest account declines in value each year. Investing is the only way to make your money grow and unless you have an exceptionally high income, investing is the only way most people will ever have enough money to retire.
I've tried investing in the stock market several times but always got discouraged by fluctuations of stock value. I would be happy if you could advise me based on how you went about yours, as I am ready to go the passive income path.!!
Angela Lynn Schilling is her name. She is regarded as a genius in her area and works for Empower Financial Services. She’s quite known in her field, look-her up.
I just looked her up on the web and I would say she really has an impressive background in investing. I will write her an email shortly.
Really? because the s and p 500 has averaged 7% growth for decades.
Seems like the US is s great long term investment.
Mist powerful military in the world makes me think US firms will always be near the top
Very clear and entertaining explanation of a largely misunderstood concept. Congratulations!
Every week I buy more of whatever is the lowest percentage of my portfolio and try to keep everything around 10%. Please what could be my safest buys with $400k to outperform the market in 2024?
Find quality stocks that have long term potential, and ride with those stocks. I have found it takes someone who is very familiar with the market to make such good picks.
I agree with you. I started out with investing on my own, but I lost a lot of money. I was able to pull out about $200k after the 2020 crash. I invested the money using an analyst, and in seven months, I raked in almost $673,000
who is your advisor please, if you don't mind me asking?
Sharon Ann Meny is the licensed advisor I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.
I just looked her up on the web and I would say she really has an impressive background in investing. I will write her an email shortly.
Good job man! You really explained it clearly and in a way that most people would understand.
Clear and useful. Thank you 👍
Clean and simple making the explanation wonderfully clear. As you asked how do I use P/E: Contrary to popular opinion, I was taught the opposite. I was told that analysts pour over the numbers to calculate p/e and that actually a high p/e number is what the market is telling us that the company has better quality profits and the market is willing to pay a high premium for that stock. Test it out of previous stocks the numbers will tell the full story.
Interesting
I’m a god of devaluation, I buy a stock and it goes down! Why I can't make earnings is beyond me. It can be annoying how volatile the market is. How can I ride this fresh wave of all-time highs without getting burned again with 450k set aside to get fully invested this year?
from my study, 90% of the time in an election year, the stock market stays positive for quite a long time. 2024 is no exemption, but it is better to be guided, ideally by a well experienced and licensed advisor
Certain Mag 7 companies are rumoured to be overvalued and might cause a market correction, I’d suggest you go with a managed portfolio, but even those don’t perform so well, so it’s best you reach out to a proper fiduciary to guide you, that’s what works for my spouse and I. We've made over 80% capital growth minus dividends.
"Jennifer Leigh Hickman" is who i work with and she is a hot topic even among financial elitist in Texas. Just browse, you’d find her, thank me later.
Try to inverse all your positions, you should be making money in that case
Just buy low fee index funds. I did and last year I made 14%
An underrated financial channel
hope you gain lakhs of subscribers ❤
Good video. Very useful
I have been recentlt looking for some cartoonish videos to sit down and get my kids more focused on learning about the market. I will be using this channel for now. Great video
Very helpful, your explanation is great also
Excellent explanation!!!
This is an excellent, excellent explanation. Give this guy credit.
Thanks. Seems everyone is ignoring the PE ratio in today's stock market. Mag 7 is so overvalued
As a beginner investor I was in doubts of PE ratio, you make my decision very clear. Thank you, great explanation!
lovely video I had trouble with the topic now I have more
great to see you comparing PE and other companies
2024! Helped me a lot! Thank so much.
Very good content, keep up the good work!
Question: today the P/E of TSLA is at 70 and Ford (F) is at 7. I believe that Tesla is a better company but as an investment Ford would be the better one. Right or wrong? TSLA at 70 still seems to be a much better investment.
It means tesla is extremely speculative. Volatile. Ford is closer to reality but also because tesla has futuristic technologies..innovative...Ford is not..low risk, low return
Tesla is like buy and forget
Math is Math
Great breakdown and explanation. This makes it really easy to understand. Thanks so much for sharing 😀
Really well explained thanks 🎉🎉
Hey bro just wanted to say that your account is really undervalued, you explain these things way better than investopedia, TD or any other video I have seen. Love that you include further explanations and use cases for these metrics. Keep it GREAT 🤝
Much appreciated! Glad you enjoyed
Very nice sharing
Thanks!
I'm really impressed with your video.
I'm planning to start my own RUclips channel with similar content and was wondering if you could share a bit about your video making process. How did you go about it. Any tips or advice would be really helpful. Thanks!
I have a question you say 50 or greater. I hear lots of people saying anything above 20 is bad what do you think about that ? Thank you for your videos I have learned a lot .
Really solid explanation! I started looking at competitors at their P/E ratios before buying stocks.
Thanks! Yeah great idea! It's really useful to compare valuations between companies!
That was so helpful! Thank you!
Have a vid for peg ratio? Keep up the great work!
Very good!! Suscribed🙂
Very good explanation
Really enjoyed it, was very helpful compared to other videos. 👌
is PE ratio of 10 the referance value for overvalue if > 10 & undervalue if < 10
Dude your stuff is goood ! Thanks
P/E ratio is hella important imo, great vid as always bro
Thanks!
Whats a negative pe ratio
With nearly half of my stock holdings in a tech stock at an all-time high, I've sold and now have around $400k. Considering potential inflation, should I invest in ETFs or wait for a market correction?
Look up dividend aristocrats. Pick six to ten from that list. Those companies have a track record of 25+ years of paying dividends. Also, its advisable you work with a financial advisor to help set up a well-structured portfolio.
Right, a lot of folks downplay the role of advisors until being burnt by their emotions, no offense. During the covid-outbreak, I needed a good boost to stay afloat, hence researched for advisors and thankfully came across one with grit. As of today, my cash reserve has yielded from $350k to nearly $1m.
Can you share details of your advisor? I want to invest my increased cash flow in stocks and alternative assets to achieve financial goals.
NICOLE DESIREE SIMON is the licensed fiduciary I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.
Thanks for sharing, I just looked her up on the web and I would say she really has an impressive background in investing. I will write her an e-mail shortly.
Hi! It's good to evaluate individual companies/stocks. but could we use P/E ratio to evaluate index fund or ETF performance? like VOO vs IVV would be the same coz they both track S&P 500. -- but how about comparing VOO vs QQQ (tracking the Nasdaq 100). TQ
You should have lots more subscriber.
I've heard the the P/E is also useful to compare a company's performance over time.
Nicely put together! Really a fan of comparing PE and other ratios of companies from similar industries! Thanks for sharing!
As am I! Thanks for the feedback!
Thanks for this video.
Excellent video.
respect teaching skill
Awesome work here. Thanks for sharing! Tesla must have a P/E that's through the roof
Yeah they do! Over 1000x!
Another great, easy to understand explanation! Thanks for covering!
No problem! I appreciate the feedback!
Solid explanation of PE ratio. Great work
Thanks!
Easy to understand.tq
Awesome, thanks.....looking forward to more
No problem! New videos every Wednesdays and Saturdays!
Trying to buy Bills Bike Shop on the NYSE but cant find it. Would love to own some of this before it skyrockets
So how are NVIDIA p/e ratio constantly in high readings and stock price also continue to go strongly up through years ??
very educational
I like the animation. You did a great of explaining the PE Ratio
Thanks so much! I appreciate the feedback!
awesome video. thanks, liked and subscribed.
making accounting and finance easy
But how to use forward P/E ratio? Is a higher Forward PE ratio than the current PE ratio a good thing?
OK... second video watched...new sub. Love the way you explain things and compare. Wish I found your channel earlier.
Thank you.
Thanks a lot
excellent!
Thank you so much
What can you infer about a stock with a negative P/E ratio?
Thanks bro
What a great channel! Keep up the good work!
Such a great explanation for P/E ratio! I actually like to refer to this metric as well when looking for my dividend stocks. New sub here!!
Good stuff! Appreciated!
well explained thanks, Rynance
Great video idea !!!
Thanks!
Thanks
What happens if the P/E is -4.5$ NIO and -11 $ xpeng but China just got chip sanction yesterday. How does PE help me decide on this similar stock
Well done to understand
I hope you correct me of i were wrong but isnt apple and amazon very different businesses?
Apple develops gadgets like iphones, wile amazon is some kind of an online platform..
Shouldnt apple rather be compared to companies like samsung or huawei?
Ok, but the reason I’m here is because Yahoo lists forward PE and PE. What’s Forward P/E? Was a good video, thx @rynance
Great explanation bro, thanks!
a great explanation as well
Thank you!
Is there anything wrong with the ratio being too low? 5x for example ?
great explation
So a company with a less P/E ratio say 10 is a better investment as a 37x ratio as you compared to McDonald’s?
What does the PE value mean if it's negative? For example, Boeing's EPS is a negative number, their PE value is N/A. What does this mean?
The company is losing money. The company is not generating profits. The higher the (negative number is) -> shame on that company
Why didn't you give info on TTM P/E vs. forward P/E?
Super interesting, definitely needed this! Keep up the good work :)
Great! Happy I could help!
Very informative video.
PE Ratio is so crucial when learning to invest! Great video, subbed and liked!
Agreed! Thanks for checking it out!
Easy understand, thank you brother.
Great post. thx.
Great
Inspiring people with this kind of video content is good job my friend. I am very proud of you,! Im just here to give you full support always, thank you my friend
Thanks for the support!
@@Rynance Big thanks to you my friend and i will see you always. Please stay connected,
What about negative P/E ratios
Earnings per share is not the divident right?
Great explanation i enjoyed watching
Awesome! Thanks for checking it out!
Great video Thanks for sharing. 😀
Market price per share/basis earning per share
Very helpful thanks for sharing!!
Can someone with experience please be my mentor I can really use it , I know little to nothing but I been learning
Nicely explained as always!
Appreciated!