Quotes About P/E

A company can be a giant, or it can deserve a giant P/E ratio, but both together are incompossible.

A stock selling at $100 per share with earnings of $10 per share would have the same P/E multiple (10) as a stock selling at $40 with earnings of $4 per share. It is the P/E multiple, not the price, that really tells you how a stock is valued in the market.