The document discusses the correct and incorrect formulas for calculating price-to-book (PB) and price-to-earnings (PE) ratios, highlighting flaws in the commonly used PB formula. It emphasizes the importance of considering long-term EPS growth driven by inflation and provides insights into fair PB and PE calculations for banks.
documents/vol00010-efta01459754-pdf.pdf
{"title":"US Equity Insights","document_date":"2016-02-08","document_type":"tabular","key_organizations":["Deutsche Bank"],"reference_numbers":["DB-SDNY-0120418","SDNY_GM_00266602","EFTA01459754"]}