Compeq Manufacturing Co., Ltd. 華通

What is P/E?

Price-to-Earnings ratio = stock price ÷ earnings per share. The number of years of current earnings the market is paying for one share. A higher P/E means investors expect more growth — or are paying more for the same earnings, depending on your perspective.

TTM EPS = trailing twelve months EPS, summed across the last four reported quarters. Updates only when a new quarterly filing lands, so the band edges step up or down each quarter.

How the bands work

The shaded band is the ±1σ̃ envelope around the fair-value line (price = TTM EPS × the company's 5Y median P/E). Dashed reference lines at ±2σ̃ mark the wider "typical range". Median + robust σ̃ (scaled median absolute deviation) is used instead of plain mean + σ because a single quarter of near-zero EPS can produce extreme P/E outliers (price ÷ 0.01 = 6000x) that wreck the stats. When today's P/E falls outside the ±2σ̃ envelope the chart's y-range extends so the price line stays on-chart.

How to read it

• The price line is the actual stock price. Its colour says where it sits: teal below −1σ̃, plain ink inside the ±1σ̃ band, copper above +1σ̃ — so stretches below and above the usual range are visible without reading a number.
• Where the price line crosses the bands tells you today's effective P/E and how it compares to history.
• The range selector defaults to 5Y — the same window the median and σ̃ are estimated over. All shows the older history too, where the band is today's multiple projected back onto older earnings; the chart says so when it does.
• The headline above the chart gives today's multiple; the vs-median figure says how far it sits from the company's own 5Y median in robust standard deviations — +2σ̃ would be about two above it.
• The 5Y median is the company's typical multiple over the window.

Why does the price sometimes go above/below all the bands?

The bands' height on any given day = multiple × that day's TTM EPS. When TTM EPS collapses (e.g. a cyclical trough), every band shrinks proportionally — but the price doesn't follow EPS one-for-one because the market often "looks through" the trough to expected recovery. Result: the price line floats above the entire band stack until EPS recovers. That's not a charting bug — it's the chart correctly showing that the company traded at multiples outside its own historical range during the trough, which is itself a useful signal (the market was willing to pay an unusually high P/E in anticipation of recovery).

What is the P/B row at the top?

Price-to-Book = stock price ÷ book value per share (shareholder equity ÷ shares outstanding — the accounting "net worth" behind each share). P/E reflects current earnings power; P/B reflects the balance sheet, and the two routinely disagree — a company can look expensive on P/E because earnings are temporarily depressed while still trading near book value. P/B is measured against its own history exactly like P/E (robust median ± σ̃ over the same window), so the two σ̃ numbers in the header are directly comparable; the sentence under them says how far apart they sit. It has no chart of its own because in price terms the P/B band is a near-twin of the P/E one.

Caveats

• Backward-looking only. Says nothing about future earnings.
• Banks and insurers have very different book-value dynamics; the P/B reading is most informative for industrial / tech equities. A negative-equity company has no P/B at all.
• A company that structurally re-rated mid-window (e.g. TSMC post-AI) has a biased median — the chart is still useful but the "vs own history" framing matters less.
• Negative-EPS quarters are filtered from the stats (P/E is undefined there). If today's TTM EPS is ≤ 0 the chart shows —.