Zoom Video Comms Inc. is a company that helps people have video meetings online. The price of its shares has gone down recently, making some people who own the shares worried. They look at something called P/E ratio to see if the company is doing well or not compared to other similar companies and how much money it makes for each share they own. A higher number means people think the company will do better in the future, but it could also mean the shares are too expensive. Read from source...
- The title is misleading, as it does not mention that Zoom Video Comms Inc. is a growth stock, and therefore its P/E ratio should be compared to its peers in the same industry and market capitalization range, rather than to a generic benchmark like S&P 500.
- The article does not provide any context or explanation for why the stock price dropped, nor what factors could influence its future performance. It simply states the facts without analyzing their causes or implications. This is an incomplete and superficial view of the company's situation.