Answer

False

Explaination to the above  answer

P/E ratio means Price earning ratio and it calculate  the market value of a particular stock relative to its earning by comparing market price per share .In other words we can say that it shows the amount an investor can expect to invest in a company in order to receive one dollar of that company’s earnings.
So it generally gives the identification  to the investor about the expectations for  current and  the future of a company.