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Value Line PE Ratio

: 12.73 (As of Today)
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The PE Ratio, or Price-to-Earnings ratio, or P/E Ratio, is a financial ratio used to compare a company's market price to its Earnings per Share (Diluted). As of today (2021-10-26), Value Line's share price is $32.09. Value Line's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jul. 2021 was $2.52. Therefore, Value Line's PE Ratio for today is 12.73.


The historical rank and industry rank for Value Line's PE Ratio or its related term are showing as below:

NAS:VALU' s PE Ratio Range Over the Past 10 Years
Min: 2.67   Med: 16.45   Max: 28.59
Current: 12.73

2.67
28.59

During the past 13 years, the highest PE Ratio of Value Line was 28.59. The lowest was 2.67. And the median was 16.45.


NAS:VALU's PE Ratio is ranked higher than
70% of the 56 Companies
in the Capital Markets industry.

( Industry Median: 25.70 vs. NAS:VALU: 12.73 )

Value Line's Earnings per Share (Diluted) for the three months ended in Jul. 2021 was $0.62. Its Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jul. 2021 was $2.52.

As of today (2021-10-26), Value Line's share price is $32.09. Value Line's EPS without NRI for the trailing twelve months (TTM) ended in Jul. 2021 was $2.52. Therefore, Value Line's PE Ratio without NRI for today is 12.73.

During the past 13 years, Value Line's highest PE Ratio without NRI was 28.59. The lowest was 2.67. And the median was 16.45.

Value Line's EPS without NRI for the three months ended in Jul. 2021 was $0.62. Its EPS without NRI for the trailing twelve months (TTM) ended in Jul. 2021 was $2.52.

During the past 12 months, Value Line's average EPS without NRI Growth Rate was 46.50% per year. During the past 3 years, the average EPS without NRI Growth Rate was 16.90% per year. During the past 5 years, the average EPS without NRI Growth Rate was 21.40% per year. During the past 10 years, the average EPS without NRI Growth Rate was 4.40% per year.

During the past 13 years, Value Line's highest 3-Year average EPS without NRI Growth Rate was 30.50% per year. The lowest was -43.30% per year. And the median was 6.60% per year.

Value Line's EPS (Basic) for the three months ended in Jul. 2021 was $0.62. Its EPS (Basic) for the trailing twelve months (TTM) ended in Jul. 2021 was $2.52.


Value Line PE Ratio Historical Data

The historical data trend for Value Line's PE Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Value Line Annual Data
Trend Apr12 Apr13 Apr14 Apr15 Apr16 Apr17 Apr18 Apr19 Apr20 Apr21
PE Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 16.34 12.82 18.67 19.99 12.57

Value Line Quarterly Data
Oct16 Jan17 Apr17 Jul17 Oct17 Jan18 Apr18 Jul18 Oct18 Jan19 Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21
PE Ratio Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 14.33 15.08 15.96 12.57 12.70

Competitive Comparison

For the Financial Data & Stock Exchanges subindustry, Value Line's PE Ratio, along with its competitors' market caps and PE Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Value Line PE Ratio Distribution

For the Capital Markets industry and Financial Services sector, Value Line's PE Ratio distribution charts can be found below:

* The bar in red indicates where Value Line's PE Ratio falls into.



Value Line PE Ratio Calculation

The PE Ratio, or Price-to-Earnings ratio, or P/E Ratio, is a financial ratio used to compare a company's market price to its Earnings per Share (Diluted). It is the most widely used ratio in the valuation of stocks.

Value Line's PE Ratio for today is calculated as

PE Ratio=Share Price/Earnings per Share (Diluted) (TTM)
=32.09/2.520
=12.73

Value Line's Share Price of today is $32.09.
Value Line's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jul. 2021 adds up the quarterly data reported by the company within the most recent 12 months, which was $2.52.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:


There are at least three kinds of PE Ratios used by different investors. They are Trailing Twelve Month PE Ratio or PE Ratio (TTM), Forward PE Ratio, or PE Ratio without NRI. A new PE Ratio based on inflation-adjusted normalized PE Ratio is called Shiller PE Ratio, after Yale professor Robert Shiller.

In the calculation of PE Ratio, the earnings per share used are the earnings per share over the past 12 months. For Forward PE Ratio, the earnings are the expected earnings for the next twelve months. In the case of PE Ratio without NRI, the reported earnings less the non-recurring items are used.

For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. Since it looks at the average over the last 10 years, Shiller PE Ratio is also called PE10.


Value Line  (NAS:VALU) PE Ratio Explanation

The PE Ratio can be viewed as the number of years it takes for the company to earn back the price you pay for the stock. For example, if a company earns $2 a share per year, and the stock is traded at $30, the PE Ratio is 15. Therefore it takes 15 years for the company to earn back the $30 you paid for its stock, assuming the earnings stays constant over the next 15 years.

In real business, earnings never stay constant. If a company can grow its earnings, it takes fewer years for the company to earn back the price you pay for the stock. If a company's earnings decline it takes more years. As a shareholder, you want the company to earn back the price you pay as soon as possible. Therefore, lower P/E stocks are more attractive than higher P/E stocks so long as the PE Ratio is positive. Also for stocks with the same PE Ratio, the one with faster growth business is more attractive.

If a company loses money, the PE Ratio becomes meaningless.

To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the PE Ratio divided by the growth ratio. He thinks a company with a PE Ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a PE Ratio of 20, instead of a company growing 10% a year with a PE Ratio of 10.

Because the PE Ratio measures how long it takes to earn back the price you pay, the PE Ratio can be applied to the stocks across different industries. That is why it is the one of the most important and widely used indicators for the valuation of stocks.

Similar to the PE Ratio without NRI or PS Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PE Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

Investors need to be aware that the PE Ratio can be misleading a lot of times, especially when the underlying business is cyclical and unpredictable. As Peter Lynch pointed out, cyclical businesses have higher profit margins at the peaks of the business cycles. Their earnings are high and PE Ratios are artificially low. It is usually a bad idea to buy a cyclical business when the PE Ratio is low. A better ratio to identify the time to buy a cyclical businesses is the PS Ratio .

PE Ratio can also be affected by non-recurring-items such as the sale of part of businesses. This may increase for the current year or quarter dramatically. But it cannot be repeated over and over. Therefore PE Ratio without NRI is a more accurate indication of valuation than PE Ratio.


Value Line PE Ratio Related Terms

Thank you for viewing the detailed overview of Value Line's PE Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Value Line Business Description

Value Line logo
Industry
Financial Services » Capital Markets NAICS : 523210 SIC : 7323
Traded in Other Exchanges
N/A
Address
551 Fifth Avenue, 3rd Floor, New York, NY, USA, 10176-0001
Value Line Inc is a U.S based company. It produces investment periodicals based on underlying research and making available copyright data, including ranking system and other information, to third parties under written agreements for use in third-party managed and marketed investment products and for other purposes. The company markets under well-known brands including Value Line, the Value Line logo, The Value Line Investment Survey, Smart Research, Smarter Investing and The Most Trusted Name in Investment Research. Its only operating segment being Publishing.
Executives
Fiore Alfred R director 1 ANGORA ROAD WESTPORT CT 06880
Brecher Howard A director, officer: Chairman and CEO VALUE LINE 220 E 42ND ST SUITE 600 NEW YORK NY 10017
Anastasio Stephen director, officer: Vice President and Treasurer 220 E 42ND STREET NEW YORK NY 10017
Muenzer Glenn J. director 357 HARVARD COURT EAST MEADOW NY 11554
Reed William Edward director 12 KNORR STREET NORWALK CT 06854
Bernstein Mary director 220 E 42ND STREET NEW YORK NY 10017
Davis Stephen P director 57 EAST 95TH STREET NEW YORK NY 10128
Sarkany Thomas director, officer: Secretary 220 EAST 42ND STREET 6TH FLOOR NEW YORK NY 10017
Perkins, Robert M. director 220 EAST 42ND STREET, 6TH FLOOR NEW YORK CITY NY 10017
Legon, Ruth O. director 220 EAST 42ND STREET, 6TH FLOOR NEW YORK CITY NY 10017
Appel Mitchell Eric officer: Chief Financial Officer VALUE LINE INC 220 EAST 42ND STREET 6TH FLOOR NEW YORK NY 10017
Arnold Bernhard & Co Inc 10 percent owner 220 EAST 42ND STREET 6TH FLOOR NEW YORK NY 10017
Eakman Janet director 220 E 42ND STREET NEW YORK NY 10017
Shanahan Edward J director 220 EAST 42 STREET NEW YORK NY 10017
Asher Marianne B director PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN"> Ownership Information: ASHER MARIANNE B a.header:link {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:visited {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:hover {color: #191970;}
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