Published on 12 Dec 2022 on Simply Wall St. via Yahoo Finance
When close to half the companies in the United States have price-to-earnings ratios (or "P/E's") below 14x, you may consider Ashland Global Holdings Inc. (NYSE:ASH) as a stock to avoid entirely with its 32.1x P/E ratio. Nonetheless, we'd need to dig a little deeper to determine if there is a rational basis for the highly elevated P/E.
Ashland Global Holdings certainly has been doing a good job lately as it's been growing earnings more than most other companies. It seems that many are expecting the strong earnings performance to persist, which has raised the P/E. You'd really hope so, otherwise you're paying a pretty hefty price for no particular reason.
See our latest analysis for Ashland Global Holdings