What makes an individual stock worth it's price?

Dividends what give stock value. Not all stocks pay dividends. However, they are expected to at some point in the future. P/E ratio is the Market price of a stock / Earnings per share. Earnings per share is [(Net Income - Prefered Dividends) / Number of Shares out standing] which lets us now the value earned per share. So anyways P/E ratio is just a ratio of the price of the stock compared to its earnings. This has little value unless compared to similar stocks.