The Magnum Opus: A Benchmarking Mechanism for Finance

The P is just the price divided by the earnings. Flip it around and now have earnings on top of price. It's exactly mathematically equivalent. But I find that more intuitive. The company is generating a 10% profit yield relative to its current market price. If I was to buy this, is that right? I would earn an internal return. And so that's saying, for what I'm paying now, I'm getting a,. well, we've got to be careful with that language. not me. Not me. This is just say those things.