Enterprise value is calculated minus cash on hand in which case...

Enterprise value is calculated minus cash on hand in which case Calle37 is correct BAL is significantly undervalued to the ASX. Using P/E ratio is flawed. Consider the banks like CBA not too long ago were trading at P/E ratio of 16. These organisations have huge liabilities greater than a trillion and a half dollars loaned into a speculative housing market and are trading illiquid now in my opinion as a forecasted 20% decrease in the housing market over this coming financial  year will wipe out hundreds of billions from their balance sheets. The whole P/E ratio is a fraud as you can rack up infinite amounts of debt to boost your P/E. Yet majority of investors will just throw money into the bank stocks because divvy and good P/E ratio. Enterprise value is far better measure as it takes cash on hand and debt into consideration.