P/E Ratio: 0

PE Ratio Calculator Online India – Calculate Price Earnings Ratio with Formula & Example

Use our PE Ratio Calculator to determine if a stock is overvalued or undervalued based on its earnings. Whether you’re analyzing Indian stocks, mutual funds, or Nifty indices, this tool is perfect for fundamental analysis, beginners, and financial experts alike.

📌 What is Price to Earnings (PE) Ratio?

The PE Ratio or Price Earnings Ratio is a stock valuation metric that shows how much investors are paying for every ₹1 of a company’s earnings. It helps compare companies across sectors and is widely used by value investors.

📘 Price Earnings Ratio Formula:

PE Ratio = Market Price per Share ÷ Earnings Per Share (EPS)

🧪 PE Ratio Formula Example:

If a company’s share price is ₹400 and its EPS is ₹20,

PE Ratio = 400 / 20 = 20

This means investors are paying ₹20 for every ₹1 the company earns.

🧮 How to Use PE Ratio Calculator Online

  1. Enter the current stock price (Market Price per Share).
  2. Enter the Earnings Per Share (EPS) – either TTM or forward EPS.
  3. Click on Calculate to get the PE Ratio instantly.

🧠 Types of PE Ratios

  • Trailing PE Ratio: Uses past 12 months’ earnings (TTM).
  • Forward PE Ratio: Based on forecasted earnings.
  • Justified PE Ratio: Calculated using ROE, growth rate, and payout ratio.
  • Shiller PE Ratio: Adjusted for inflation and cyclicality (used in long-term valuation).

🔬 Advanced PE Ratio Formulas

FormulaUse
EPS × PE RatioTo calculate expected stock price
Justified PE = (1 - b) / (r - g)Where b = retention ratio, r = required return, g = growth rate
PB × PE RatioUseful in financial health benchmarking
Price / Earnings (PE)Basic formula for valuation

📊 Practical Use Cases of PE Ratio Calculator

  • Analyzing stock valuation (undervalued vs. overvalued)
  • Comparing companies within the same industry
  • Checking stock fundamentals in Nifty PE or sector-wise comparison
  • Evaluating mutual fund PE levels
  • Using in excel for portfolio screening

📈 Related Keywords & Tools Covered

  • PE Ratio Calculator India
  • Stock PE Ratio Calculator
  • Forward PE Ratio Calculator
  • Trailing PE Ratio Calculator
  • Price Earnings Ratio Formula with Example
  • EPS and PE Ratio Formula
  • PB x PE Ratio
  • PE Ratio for Mutual Fund Valuation
  • Google Finance PE Ratio Reference
  • PE Ratio Formula in Excel

🔗 Related Articles & Calculators

❓ FAQs on PE Ratio Calculator

What is PE Ratio?

It is the price you pay for ₹1 of a company’s earnings. It indicates stock valuation.

Can I calculate PE Ratio using Excel?

Yes. Use formula = Share Price / EPS in Excel.

What is the difference between trailing and forward PE?

Trailing PE uses historical data, forward PE is based on projected earnings.

Is PE Ratio useful for mutual funds?

Yes, to judge the valuation of the entire fund portfolio.

What is the Justified PE Ratio formula?

(1 - b) / (r - g), used for fair value estimate based on fundamentals.