What Genie Energy Ltd.’s (NYSE:GNE) 28% Share Price Gain Is Not Telling You
Genie Energy Ltd. (NYSE:GNE) shares have continued their recent momentum with a 28% gain in the last month alone. Looking back a bit further, it’s encouraging to see the stock is up 25% in the last year.
After such a large jump in price, Genie Energy may be sending very bearish signals at the moment with a price-to-earnings (or “P/E”) ratio of 28.9x, since almost half of all companies in the United States have P/E ratios under 18x and even P/E’s lower than 10x 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.
