DECODING THE P/E RATIO: FINDING UNDERVALUED STOCKS

The price-to-earnings ratio, or P/E ratio, is a key valuation tool that investors use to assess the price of a company's stock relative to its earnings. A low P/E ratio can signal that a stock may be a bargain, while a high P/E ratio suggests that the market forecasts higher earnings growth in the future. By analyzing a company's P/E ratio to its