InvestorQ : which is better between PE and EV/EBITA to gauge company fundamental.
Bijender Singh made post

which is better between PE and EV/EBITA to gauge company fundamental.

Answer
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Archita Jajjoo answered.
3 months ago


It depends on the company. For profitable companies especially for industrials, PE is a better measure. For loss making and high gestation businesses, EV/EBITDA is likely. You must use the right measure accordingly.