Price To Earnings (P/E)
Alibaba Group Holding Limited currently has a trailing twelve month price to earnings ratio of 26.91.
The price to earnings ratio relates a company's valuation to its net profits. It is calculated by dividing the market capitalization by the net income. Unprofitable companies will have a negative price to earnings ratio. A company with a small positive P/E ratio may represent better value than a company with a high ratio.