P/E valuation calculator
Price-to-earnings (P/E) valuation estimates a share price by multiplying earnings per share (EPS) by an assumed P/E multiple. Enter low, base, and high multiples. Zero EPS makes P/E undefined. Negative EPS is not meaningful (N/M) for this comparison. A company page can fill last fiscal year’s EPS. Choose the multiples for your scenarios.
Implied price = EPS × P/E multiple.
How to estimate a P/E implied price
- Enter positive EPS. Trailing or forward EPS in USD. Zero EPS is undefined; negative EPS is N/M for this comparison.
- Enter low, base, and high multiples. Three P/E assumptions, each greater than zero.
- Optional: current price. When present, each implied price is also shown as a percentage above or below that price.
Frequently asked questions
- How do you calculate an implied share price from P/E?
- Multiply earnings per share by an assumed P/E multiple. EPS of $5 at a 20× multiple implies $100 a share. A $90 market price is 10% below the $100 implied value. Reaching $100 would represent 11.11% upside.
- Why won't the calculator use zero or negative EPS?
- Zero EPS makes P/E undefined: you cannot divide by zero. Negative EPS produces a negative quotient that is not meaningful for the usual P/E comparison (N/M). This tool keeps positive EPS only. It will not flip the sign or use the absolute value.
- Is this investment advice?
- No. The calculator is for general informational and educational purposes only. It is not a recommendation to buy, sell, or hold any security.
Related tools
- P/E ratio calculatorRead P/E, earnings yield, and PEG from the same inputs.
- DCF calculatorCheck the multiple against a cash-flow model.
- Reverse DCF calculatorAsk what growth the current price already assumes.
- Market cap calculatorCompare that implied price with a cap built from shares.
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