RE: Plans....8 Jun 2025 10:06
3LB'S
PE ratios can also be sector specific/related.
lets take the well known tech sector,some of those well known tech comps,have a pe ratio in the 30's,even though theyre profits,aint x30
then you have the gold sector,some of those comps,in the last 3 years,have profits increases,off the scale,but in comparison.....nowt compared to the tech sector
then on the flip side,the oil and gas sector,PE ratios's have fallen off the cliff,since the price of oil,fell sharply
AI stocks,is another sector,going off the scale....but we all know why,its in a bull run(some of these aim AI start up minnows,are off nuts,this year).
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so sector health/weakness....is a big factor in sentiment....for PE ratios.
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geography is another factor,its well know,that the average PE ration of a yank comp,is a lot higher,than a similar comp,based in the UK OR EU....and by a big margin.
which you'll see,if you google it,or AI it.
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in general,its a very innaccurate,tool to use,when it comes to comparisons