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multiple |
Also found in: Dictionary/thesaurus, Medical, Wikipedia, Hutchinson | 0.03 sec. |
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Multiple Another term for price/earnings ratio (P/E ratio or PE) - a measure of the value of a company's stock determined by its current share price divided by its current annual earnings per share (EPS). Notes: The term multiple is used because the P/E shows how much investors are willing to pay per dollar of earnings. For example, a stock with $2 of EPS that is trading at $20 has a P/E of 10. This means investors are willing to pay 10 times the current EPS for the stock.
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