本益比是基础分析中最常用的比例，计算方式是股价除每股盈利。一般上，低本益比表示股票便宜。不过，这个准则有时不太好用。两家公司从事相同的业务，才能够比较它们的本益比；不同行业的公司，本益比通常是不一样的。举例说，以新加坡电信在电信业的地位，它的本益比会较其他公司高。
However, analysts have not yet agreed on what PE ratio each industry or company deserves and there is no one way to determine the right PE ratio. Both approaches attempt to predict the future price movement of a stock. Fundamentalists study the cause of market movement while technicians believe that the effect is all that they need to know.
Despite their differences, both approaches try to increase your probability of picking up the right stock at a right price. However, these methods only increase your chances but do not guarantee complete success. Some believe that fundamental analysis is good for picking the right stock while technical analysis is appropriate to decide the right price or time to buy.
对于每个行业的本益比应是多少，分析员们到目前为止还没有定论，而且也没有计算正确本益比的方式。技术分析和基础分析都尝试预测股价今后的走势。它们的做法虽然不一样，但都尽可能帮助投资者以合适的价格买入有增值潜能的股票。不过，它们都只能提高可能性，而不能保证成功。有些人认为，基础分析较适合用于选择股票，而技术分析则适用于决定买入的时机和价格。
For the professional investor, he has to take another step of deciding the sequence of analysis. This will have an impact on how the investor divides his money among different countries and stocks. Basically, the investor decides whether the market as a whole or the company itself is more important in determining stock prices. Both factors definitely influence stock prices but the degree of influence is the issue.
对专业投资者来说，他们还必须决定分析的步骤。这将影响投资者把资金分配于不同市场和股票的决定。基本上，他们决定市场的整体走势还是公司本身对股价的影响比较大。这两个因素都会影响股价，但程度可能不同。
The top-down approach or sometimes known as the Economy-Industry-Company (EIC) model emphasizes the market over the company. It starts with the analysis of different economies to determine which country could offer the investor better returns.
In the selected economy, it searches for industries that provide better prospects and it picks the best companies within these industries. The top-down approach offers a systematic and structured way to analyze stocks. It advocates that the economy and industry effects are significant factors in determining the total return for stocks.
从上至下的方法侧重于整体市场。它首先决定哪个市场能带来较高的回报，然后再选择具投资展望的行业和属于这一行业的公司。这是个系统化的股票分析方式，认为经济和行业是决定股票回报的重要因素。
The bottom-up or stock picking approach believes in finding stocks that are undervalued which can provide superior returns irrespective of the market and industry factors. The company effect is the dominant factor in determining stock return.
而从下至上的选择股票方式，无视市场和行业因素，重点是选择市值低于股值的股票，认为公司本身是决定回报的最重要因素。
There is no overwhelming evidence to suggest which approach offers superior returns to the investors. The most important thing is that an investor is comfortable with a particular method, understands its strengths and limitations, experiments with it, finds that it works for him and abides by the method.
哪个方式能带来较高的回报，并没任何研究证明。最重要的是投资者懂得所选择方式的优缺点，并尝试使用。
