Subdued Growth No Barrier To Tokyu Corporation’s (TSE:9005) Price
With a median price-to-earnings (or “P/E”) ratio of close to 15x in Japan, you could be forgiven for feeling indifferent about Tokyu Corporation’s (TSE:9005) P/E ratio of 14.2x. Although, it’s not wise to simply ignore the P/E without explanation as investors may be disregarding a distinct opportunity or a costly mistake.
Recent times haven’t been advantageous for Tokyu as its earnings have been rising slower than most other companies. One possibility is that the P/E is moderate because investors think this lacklustre…
