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RELIANCE COMMUNICATIONS
PE (Price/Earnings) Ratio

The Current P/E Ratio of RELIANCE COMMUNICATIONS is -7.97.

Share Price ₹1.7Apr 23,2024
Market Cap ₹478.4 Cr
Earnings-TTM₹-60.0 CrTTM-Consolidated Results
Price/Earnings-7.97xCalculated as Market Cap/Earnings
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Definition & Calculation of PE (Price/Earnings) ratio of RELIANCE COMMUNICATIONS

Price-to-Earnings ratio, P/E Multiple, or P/E Ratio is an important valuation multiple that is defined as:

P/E = Market Capitalization / Net Income

or, using per-share numbers:

P/E = Stock Price / Earnings Per Share (EPS)

Applying the above formula, P/E ratio of RELIANCE COMMUNICATIONS is calculated as :

Current Market Cap [ ₹478.4 Cr] as on Apr 23,2024

(/) Earnings [ ₹-60.0 Cr] based on TTM-Consolidated Results

(=) P/E Ratio [ -7.97x ]

P/E Ratio indicates the multiple of earnings investors are willing to pay to own one share of the company.

Thus, for RELIANCE COMMUNICATIONS , the investors are currently willing to pay -7.97 times earnings to own 1 share of the company.

PE Multiples are the most widely used valuation multiple in practice.

Since P/E ratio uses Net Income in the calculation, P/E multiples are not always reliable for valuing companies with negative earnings.

In such cases, you may consider using Price to Book ratio or Price to Sales ratio of RELIANCE COMMUNICATIONS !

P/E ratios, also, would not adjust for differences in the capital structure between companies.

The chart below summarizes the trend in P/E Ratio of RELIANCE COMMUNICATIONS over the last five years.

Historical PE (Price/Earnings) ratio chart of RELIANCE COMMUNICATIONS


PE Ratio Performance Analysis for RELIANCE COMMUNICATIONS

- RELIANCE COMMUNICATIONS 's latest p/e ratio is -7.97x.

- RELIANCE COMMUNICATIONS 's p/e ratio for fiscal years ending Mar2023 to Mar2019 averaged 0.00x.

- RELIANCE COMMUNICATIONS 's operated at median p/e ratio of 0x from fiscal years ending March 2018 to 2022.

- Looking back at the last 5 fiscal years, RELIANCE COMMUNICATIONS 's p/e ratio peaked in Mar2023 at 0x.

- RELIANCE COMMUNICATIONS 's p/e ratio hit its five-year low in Mar2023 of 0x.


How does RELIANCE COMMUNICATIONS 's P/E Ratio benchmark against top 10 peers in Telecommunication - Service Provider Industry?

Peer Comparison (Telecommunication - Service Provider Industry)Earnings-TTM (Cr)PE RatioMarket Cap
RELIANCE COMMUNICATIONS -60.00-7.97478.4
BHARTI AIRTEL LTD8,235.7098.79813,587.0
INDUS TOWERS LTD5,582.2017.3696,923.4
VODAFONE IDEA LTD-29,979.80-2.4172,122.4
TATA COMMUNICATIONS LTD949.5952.4049,753.9
TATA TELESERVICES (MAHARASHTRA) LTD-1,196.17-13.8716,595.4
RAILTEL CORPORATION OF INDIA LTD201.6261.5212,404.3
HATHWAY CABLE & DATACOM LTD62.9363.714,009.3
MAHANAGAR TELEPHONE NIGAM LTD-3,234.44-0.742,392.7
GTL LTD91.301.76160.6

Telecommunication - Service Provider Industry Benchmark (Top 10) PE Analysis vs RELIANCE COMMUNICATIONS 's P/E Ratio

Top 10 Industry PeersPE Ratio
Min industry PE -13.87x
Max industry PE 98.79x
Median industry PE 17.36x
Average industry PE 27.05x



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