Many friends who are studying finance may see that there are many terms in stocks, such as volatility and P/E ratio for calculating enterprise value. Many games put forward the volatility of stocks, as well as the price-earnings ratio. What kind of classification is there? Let's take a look at it together. I. Volatility

First of all, what we need to know is the meaning of this volatility. Generally speaking, volatility is actually a measure of the volatility of the subject matter price or return on investment, and to some extent, it is also a standard deviation and variance for calculating the price or return on investment. Represents a risk

. There are three main categories of volatility, one is implied volatility, the other is historical volatility, and the other is realized volatility. Implied volatility is actually an estimate of static volatility, but it depends on the past period to calculate historical volatility assuming that the volatility in a certain period remains unchanged.

Second, the price-earnings ratio

In fact, the price-earnings ratio is the most commonly used way to evaluate the enterprise value, and the enterprise value is often based on the stock price of the enterprise. Level to calculate, and the price-earnings ratio is a ratio of the stock price and earnings per share, through such an interest rate to calculate the stock price of the enterprise, and get the enterprise value.

Through this definition of P/E ratio, we probably know how to calculate it. However, the selection of earnings per share can also be classified into static, dynamic and sliding, forecast P/E ratio and issue P/E ratio.

Third, the selection of indicators is different

Whether it is the selection of volatility or price-earnings ratio, in fact, the most important one of their classification is that the selection of indicators is different. Take the price-earnings ratio as an example. Generally speaking, the static price-earnings ratio is compared with the earnings per share in the past year. The dynamic P/E ratio is a growth ratio, which is based on the static P/E ratio and multiplied by a dynamic coefficient. The difference between the sliding P/E ratio and the forecast P/E ratio is that one is based on past indicators, and the other is a calculation method based on past indicators to push future indicators.