VALENEUTRAL

P/E Ratio

8.9x

Higher than 9% of Basic Materials sector peers

Updated 656h ago

Sector Performance

9th percentile

VALE

8.9x

Sector Median

17.1x

Sector Avg

20.2x

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Deep Analysis

Vale's current P/E ratio of 8.9x means investors are paying $8.90 for every $1 of the company's past-year earnings — a low number often indicates the stock is undervalued relative to earnings.

Compared to sector peers in Basic Materials, where the median P/E is 19.0x, Vale's ratio sits at the 8th percentile, meaning only 8% of peers have a lower P/E. The metric shows no trend data: the year-over-year change is N/A, the quarter-over-quarter change is N/A, and no historical values beyond the current 8.9x are available. Because the P/E is very low relative to the sector but there is no trend to confirm improvement or deterioration, the valuation alone suggests a possible value opportunity, but the lack of directional data raises uncertainty. This metric is consistent with the overall NEUTRAL verdict: the low P/E hints at undervaluation, but without a trend or context, it does not provide enough conviction for a bullish or bearish stance.

Frequently Asked Questions

What does the P/E Ratio tell investors about VALE?

Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.

How is the P/E Ratio calculated?

P/E Ratio is calculated as: Price / EPS.

How does VALE's P/E Ratio compare to its sector?

VALE's P/E Ratio of 8.9x compares to a Basic Materials sector median of 17.1x, placing it in the 9th percentile.

Who are VALE's closest peers by P/E Ratio?

The closest Basic Materials peers by P/E Ratio include: AEM (18.4x), CDE (15.8x), PPG (15.7x), SILV (19.6x), KGC (13.3x).

The Formula

Price / EPS

Why It Matters

Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.

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VALE

8.9x

Sector Median

17.1x

Sector Avg

20.2x

How VALE's P/E Ratio compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.