The Normal P/E Ratio (The Blue Line) – What It Is And How It Works

Normal P/E Ratio – The Blue Line

We get a lot of questions about what we call Normal P/E Ratio on a FAST Graph. People want to know how it is calculated, what it means, and how to utilize it to make better long-term investment decisions. In this video we will explain how the Normal P/E (the average market P/E) is calculated and how it should be analyzed and thought about.

FAST Graphs Analyze Out Loud Video

FAST Graphs – The Normal P/E Ratio