P/E Ratios Help Advanced Investors Accurately Value Their Stocks, But You Probably Don’t Need to Worry About Them. Here’s What to Look for Instead

When you invest in individual stocks, you’re bound to come across various metrics while researching potential purchases. Among them, you’ll see P/E, or price-earnings ratio. Associate Financial Life Advisor, Thomas Munoz, spoke with NextAdvisor on why P/E ratios is one of the most widely used tools by investors to value a stock.