Investing 102

[GregWeld]

We've talked about this "metric" (a way to measure things) in the past -- and I've said that I don't really look at it - because a fast growing company could have a sky high P/E (Price to Earnings ratio)... yet - isn't growth what you want in a stock?? Or there may be some other compelling story as to why the P/E is a little out of whack vs it's peers. It is ONLY ONE metric... useful yes - but not a sole criteria!

Here's a very good explanation of a whacked out P/E in a stock I own (20,000 shares)... So I thought I'd share it here.


http://www.fool.com/investing/genera...ok-pricey.aspx