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Investor2014

11/04/21 6:42 PM

#334907 RE: WolfofMia #334905

You will find with any company, except those that manage to generate revenue with absolutely zero cost, has a ratio between price/earnings vs. price/revenue that are very different numbers with different meaning.

Sure revenue and earnings are related just as you are to your grandmother, but still two different quantities.
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ignatiusrielly35

11/04/21 6:52 PM

#334909 RE: WolfofMia #334905

Um, you can’t use revenue to calculate a PE ratio.
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boi568

11/04/21 7:56 PM

#334914 RE: WolfofMia #334905

Revenue is linked to earnings, but not predictive enough for use in a PE ratio. You can have revenues without earnings, for instance.