I'm a fan of Barry Ritholtz, and I really like his perspective communicated like this.
Worth the read!
Stock Market Since 1900 | The Big Picture
http://www.ritholtz.comWed, 14 Aug 2013 16:00:43 GMT
E.g. in 1929 JPM's P/E was at ~ 17 and at the bottom of the stockmarket in late 1932 JPM's P/E had only shrunk to ~14. In that regard the 4 quarter trailing P/E – IMO – understates (in both directions) the swing in earnings from ...