The Truth About High and Low P/E Ratios

Is a P/E of 10 always a good deal? Is 30 always too expensive? The truth is—it depends. In this episode, I explain how I judge whether a P/E ratio is high or low by comparing it to three things: the company’s own history, the industry average, and the overall market. Without that context, the number alone means nothing. This is how I filter out overpriced hype and uncover real opportunity using The 37 Percent Method. Follow along—next, I’ll show you what to combine with P/E to spot long-term winners.