The average price-earnings ratio of steel plates has been very low. Why?

P/E ratio = share price/earnings per share

It reflects how much the enterprise needs to recover the cost according to the current profit level. This value is generally considered as a reasonable range between 10-20.

Price-earnings ratio is an important financial indicator that investors must master, also known as price-earnings ratio, which is the ratio of stock price divided by earnings per share. The P/E ratio reflects how many years our investment can be fully recovered through dividends when the dividend payment rate is 100% and dividends are not reinvested. Generally speaking, the lower the P/E ratio of a stock, the lower the profitability of the market price relative to the stock, indicating that the shorter the payback period, the smaller the investment risk and the greater the investment value of the stock; On the contrary, the conclusion is the opposite.