Eqvista offers severaltools and servicesthat can be particularly beneficial for analyzing and optimizing the Price-to-Sales (P/S) ratio. Our detailed valuation report includes analyses of P/S ratios, enabling businesses to benchmark against industry standards. With our best equity management tool, ...
P/S is widely used in most industries because of its intuitive explanatory capabilities. It is also one of the ratios which might be used to compare across industry (since revenue may not be impacted by corporate structure), however, such practices are rare. Generally, P/S is compared within...
price-to-sales ratio股价与销售额比率This paper precedes analysis by examples on investment income in shanghai and shenzhen stock market from 1994 to 2005 by investment strategies with financial ratios as decision basis , inspecting average rate of return of various investment strategies , ...
The price-to-sales ratio is an important financial ratio that allows investors to evaluate a company's worth relative to its sales. It is a valuable tool in ratio analysis when comparing companies within the same industry. However, it should be used in conjunction withother financial ratiosto ...
Thank you for reading CFI’s guide to Price to Sales Ratio. To keep advancing your career, the additional resources below will be useful: Financial Analysis Ratios Glossary P/E Ratio Price-to-Cash Flow Ratio Valuation Methods See all valuation resources ...
Trailing Versus Future Price to Sales Ratios Canonically, you calculate the price to sales ratio using the current market price compared to sales in 12 months. A one-year span will help counteract any seasonality in sales. Of course, that doesn't prescribewhichtwelve months you should use – ...
2) sale-price ratios 销市率3) price-sales ratio approach 市销率估值法 1. In a mature stock market of foreign countries,the price-earnings ratio approach and price-sales ratio approach are used to assess the value of stocks in common. 市盈率估值法和市销率估值法是国外成熟的证券市场上...
It’s one of the most common ratios used to value an investment The P/S ratio can be used to identify overvalued and undervalued stocks What Are the Limitations of the Price-to-Sales (P/S) Ratio? P/S ratios can vary depending on the industry. For example, technology companies tend to...
Limitations of the Price Sales Ratio One of its limitations is that P/S ratios differ across different industries; thus, it is difficult to compare companies in various sectors. The valuation can help differentiate an unleveraged company from the leveraged as a company can report a P/S ratio ...
Those having a PSR greater than three are deemed high-risk. However, a low P/S ratio is not the only metric to consider. While a lower one is usually a good sign, companies that are growing fast usually have higher P/S ratios because people expect them to make more money in the ...