High PE Ratio Means What? A Good Stock?

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			              High PE Ratio Means What? A Good Stock?
Manoj Jayale, Manager, India, Member
			                
			                What is the meaning if Company A has been trading at a higher PE ratio than company B?

Does it mean we should buy this stock or not?

Can anyone explain? Thanks......
			            
			                  	Meaning of P/E Ratio
														
Rajiv Singh, Student (University), United Kingdom, Member
No, it does NOT mean a good stock, nor a bad one. It just means how much a company is earning per share.

How strong the stock of a company is, al...

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