How to calculate the price-to-earnings ratio of a stock index

To put it simply, the total market value of the calculation period is compared with the total market value of the base period to obtain a relative change value, which reflects the relative level of market stock prices.

Market value = stock price per share × total number of shares.

The closing price of Zhiba Square Dance yesterday was 27.6 yuan, and the total number of shares was 2 billion, so its market value is

2.76 × 2 billion = 55.2 billion yuan

< p>The market index represents the overall condition of the stock market. If most stocks rise, the market index will rise, and vice versa.