Volume has no impact on the PE ratio. The PE ratio is a company's (or index's) stock price divided by the earnings per share. PE ratios can be used to measure how expensive a stock is relative to its (or an index's) average PE over time. For a trader, volume can affect the momentum of a stock's price (up or down). And both traders and investors should consider a stock's average trading volume with respect to liquidity concerns (how readily one could sell the stock).
As Larry said, PE and trading volume are totally unrelated. If you are buying stocks for the long haul, volume should have no affect on a purchase decision. If you are a trader or speculator, the most important part of trading volume is the volume of purchases versus volume of sales. The higher either number is for a period of time will indicate the near term direction of the stocks price.
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