PER/PBR Calculator

Calculate price-to-earnings, price-to-book, earnings yield, ROE estimate, and target price by PER.

Valuation inputs

Estimate price-to-earnings, price-to-book, earnings yield, and target price by PER.

Share priceEPSBPSTarget PER

PER

15x

Moderate multiple

PBR

1.88x

Moderate book premium

ROE estimate

12.5%

EPS divided by BPS.

Earnings yield

6.67%

Target price by PER

$75

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What are PER and PBR?

PER and PBR are relative-valuation metrics. PER compares market price with earnings per share, while PBR compares market price with book value per share. The Korean calculator also estimates fair price using peer-group PER and PBR multiples.

Formulas and industry references

PER and PBR formulas

PER = current stock price / EPS. A KRW 50,000 stock with EPS KRW 5,000 has PER 10x, meaning the price equals about 10 years of current earnings.
PBR = current stock price / BPS. A KRW 50,000 stock with BPS KRW 70,000 has PBR 0.71x.
Fair price by PER = EPS x industry PER. EPS KRW 5,000 x industry PER 15 gives KRW 75,000.
Fair price by PBR = BPS x industry PBR. BPS KRW 70,000 x industry PBR 1.2 gives KRW 84,000.

2025 industry reference bands

IT and software: PER 20 to 30, PBR 2 to 4.
Manufacturing: PER 10 to 15, PBR 1 to 1.5.
Finance: PER 8 to 12, PBR 0.4 to 0.8.
Bio and pharma: PER 25 to 40, PBR 3 to 6.

Valuation scenarios

Undervalued manufacturing case

Price KRW 45,000, EPS KRW 6,000, BPS KRW 55,000, industry PER 12, and industry PBR 1.3 produce current PER 7.5 and PBR 0.82. Fair prices are KRW 72,000 by PER and KRW 71,500 by PBR, implying roughly 60% upside in the Korean example.

Growth and financial-sector cases

Growth case: KRW 180,000 price, EPS KRW 3,500, BPS KRW 25,000, industry PER 35, PBR 5 gives PER 51.4 and PBR 7.2. Fair prices near KRW 122,500 and KRW 125,000 imply about 32% overheating.
Financial stock case: KRW 38,000 price, EPS KRW 4,200, BPS KRW 62,000, industry PER 10, PBR 0.6 gives PER 9.0 and PBR 0.61, close to fair value.
PER under 5 can be a value signal but can also mean declining earnings. PBR below 1 is not automatically cheap, especially in financials where 0.5 to 0.7 can be common.
If EPS is negative, PER is not meaningful; use PBR, PSR, EV/EBITDA, or forward PER instead.