Subdued Growth No Barrier To TDK Corporation’s (TSE:6762) Price
With a price-to-earnings (or “P/E”) ratio of 15.2x TDK Corporation (TSE:6762) may be sending bearish signals at the moment, given that almost half of all companies in Japan have P/E ratios under 12x and even P/E’s lower than 8x are not unusual. Although, it’s not wise to just take the P/E at face value as there may be an explanation why it’s as high as it is.
Recent times have been advantageous for TDK as its earnings have been rising faster than most other companies. The P/E is probably high because investors think this strong earnings performance will continue. You’d really hope so, otherwise you’re paying a pretty…
