Bridge over ocean
1 January 1945 Financial Analysts Journal Volume 1, Issue 1

A Study of Factors Influencing Price–Earnings Ratios of Utility Common Stocks

  1. Harold H. Young

The study reported here covered the P/Es of 60 companies as of 15 November 1945. Factors found not be influential were size and location (with the exception of New England companies, which all had high P/Es). The P/E was found to vary with debt-to-equity ratio, percentage of gross operating revenues remaining for common stock, and especially, percentage of common stock earnings paid out as dividends.

Read the Complete Article in Financial Analysts Journal Financial Analysts Journal CFA Institute Member Content

We’re using cookies, but you can turn them off in Privacy Settings.  Otherwise, you are agreeing to our use of cookies.  Accepting cookies does not mean that we are collecting personal data. Learn more in our Privacy Policy.