Stop looking at the US P/Es

http://www.telegraph.co.uk/finance/...res/3453248/Are-Brics-a-solid-investment.html

Russia's P/E ratio has fallen to just 3.9.

India to 9.

 

Is the "E" still overstated for each country?

 

the most important part of p/e, is TRUE forward earnings

 

I wont be surprised if Earnings are overvalued by 10x, specially in Russia.
Third world countries have zero credibility when it comes to accounting.
Even US companies have 50% credibility, on their earnings.

 

agree, P/E ratio's mean squat in an environment where no one knows what the hell they will be earning next year, for all we know aaple and microsoft have forward p/e's of 1000.

 

How could anyone know or determine what that is?

 

When it comes to Russia...I wouldn't trust the P or the E in that equation!

 

EWZ looks good with a PE of 10

 

arcelor mittal has a p/e of 1.5