Price to Earnings - P/E Ratio and Earnings Per Share - EPS Explained

Learn the fundamentals of Price to Earnings (P/E) Ratio and Earnings Per Share (EPS) in this 21-minute video tutorial. Discover how to calculate P/E ratios using two simple formulas and determine EPS values by considering a company's earnings, preferred dividends, and outstanding shares. Explore the relationship between stock price, market capitalization, and total earnings in P/E ratio calculations. Practice your understanding with multiple example problems and gain valuable insights into these essential financial metrics for evaluating company performance and stock valuation.