Article taken from: finance.yahoo.com
Mail Advertisement Even With A 25% Surge Cautious Investors Are Not Rewarding Seplat Petroleum Development Company Plc’s (LON:SEPL) Performance Completely Simply Wall St Seplat Petroleum Development Company Plc ( LON:SEPL ) shareholders would be excited to see that the share price has had a great month, posting a 25% gain and recovering from prior weakness. Although its price has surged higher, Seplat Petroleum Development may still be sending very bullish signals at the moment with its price-to-earnings (or “P/E”) ratio of 7.6x, since almost half of all companies in the United Kingdom have P/E ratios greater than 18x and even P/E’s higher than 37x are not unusual. […] It seems that many are expecting the dismal earnings performance to persist, which has repressed the P/E. […] So it appears to us that the company has had a mixed result in terms of growing earnings over that time. […] In light of this, it’s peculiar that Seplat Petroleum Development’s P/E sits below the majority of other companies.
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