Bosch Limited’s (NSE:BOSCHLTD) Business Is Yet to Catch Up With Its Share Price
With a price-to-earnings (or “P/E”) ratio of 42.3x Bosch Limited (NSE:BOSCHLTD) may be sending very bearish signals at the moment, given that almost half of all companies in India have P/E ratios under 27x and even P/E’s lower than 15x are not unusual. However, the P/E might be quite high for a reason and it requires further investigation to determine if it’s justified.
Recent times haven’t been advantageous for Bosch as its earnings have been rising slower than most other companies. It might be that many expect the uninspiring earnings performance to recover significantly, which has kept the P/E from collapsing. If…
