Price Multiple

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Definition: Price Multiple

Price Multiple
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Full Definition of Price Multiple

A ratio of a stock’s price to some measure of share value. The formula for calculation is Price Multiple = Share Price / Metric, where the metric is some measure of share value, like earnings, cash flow, sales, or assets. Typically used during a valuation as an indicator of the company’s attractiveness as an investment.

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To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
https://payrollheaven.com/define/price-multiple/
Modern Language Association (MLA):
Price Multiple. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
March 31, 2025 https://payrollheaven.com/define/price-multiple/.
Chicago Manual of Style (CMS):
Price Multiple. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
https://payrollheaven.com/define/price-multiple/ (accessed: March 31, 2025).
American Psychological Association (APA):
Price Multiple. PayrollHeaven.com. Retrieved March 31, 2025
, from PayrollHeaven.com website: https://payrollheaven.com/define/price-multiple/

Definition Sources

Definitions for Price Multiple are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 16th November, 2021 | 0 Views.