In order to evaluate a stock, we often look at the PE Ratio (Forward PE or Trailing PE). But how do we interpret it? A. Does having a high PE Ratio such as a Forward PE of 35 or 40, bad?
What is the Trailing PE Ratio? What is the Forward PE Ratio? What should we use?
Previously, we explained that the P.E. Ratio is the Price to Earnings Ratio. You might hear many people use this term. But hearing the term PE Ratio is not enough. You have to ask whether it is the Trailing PE