How should the OSTK historical PE ratio be determined?
Realizing that PE stands for Price to Earnings ratio, we need two values to compute it: stock price and earnings per share. The stock price at any given date is a known historical value, but what about the earnings number to use?
✔️Accepted answer:
There are a number of different approaches when it comes to calculating a historical PE ratio for a company like Overstock.com. We like to take our measurements on each of the past quarterly earnings reports. That only leaves the question of whether the earnings number at that quarterly report should be used on an annualized basis, or some other method. We approach this question using three different methods, on this OSTK Historical PE Ratio page.
What is the average historical PE for OSTK based on annualized quarterly earnings?
As we look back through earnings history, what is the resulting PE calculation if at each measurement period we use that quarter's earnings result annualized?
✔️Accepted answer:
The OSTK historical PE ratio using the annualized quarterly earnings method works out to 44.7.
What is the average historical PE for OSTK based on trailing twelve month earnings?
As we look back through earnings history, what is the resulting PE calculation if at each measurement period we use the trailing twelve months combined earnings result in the calculation?
✔️Accepted answer:
The OSTK historical PE ratio using the TTM earnings method works out to 65.4.
On this page we presented the
Overstock.com Historical PE Ratio information for Overstock.com' stock.
The average OSTK historical PE based on using the annualized quarterly earnings result at each measurement period (for the "E" in the PE calculation; and the closing price on earnings date as the "P") is 44.7. Meanwhile, using the trailing twelve month (TTM) quarterly earnings result as our method of calculation the "E" value at each measurement period, the average OSTK historical PE based on this TTM earnings result method is 65.4. Note: any PE calculations resulting in a value exceeding 500 were discarded as not meaningful. Note: any PE calculations involving negative earnings were discarded as not meaningful.
Let's now compare this OSTK historical PE result, against the recent PE: when this page was posted on 10/27/2023, the most recent closing price for OSTK had been 13.93, and the most recent quarterly earnings result, annualized, was 0.52. Meanwhile, the most recent TTM earnings summed to 0.18. From these numbers, we calculate the recent OSTK PE on 10/27/2023 based on annualized quarterly EPS was 26.8. Based on OSTK's history, that recent PE is low relative to the historical average, with the recent PE 40.0% lower than the historical average PE across our data set for Overstock.com. Looking at the recent OSTK PE on 10/27/2023 based on TTM EPS, we calculate the ratio at 77.4. Based on OSTK's history, that recent PE is elevated relative to the historical average, with the recent PE 18.3% higher than the historical average PE across our Overstock.com data set with TTM EPS used in the calculation at each period.
For self directed investors doing their due diligence on OSTK or any other given stock, valuation analysis for OSTK
can greatly benefit from studying the past earnings and resulting PE calculations. This exercise can help inform an analysis
as to whether the past earnings trajectory and current versus historical PE ratios justify the current stock value.
That's why we bring you
HistoricalPERatio.com to make it easy for investors to investigate
Overstock.com PE history or the past PE information for any stock in our coverage universe.
And in your continued research we hope you will be sure to check out the further links included for earnings
surprises history (beat/miss data) as well as next earnings dates for OSTK. Thanks for visiting, and the next
time you need to research
OSTK Historical PE Ratio or the ratio for another stock, we hope you'll think of our site, as your
go-to historical PE ratio research resource of choice.