It also sports a 37% discount to its average price-sales ratio over the past five years.
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Currently, NVTL has a price-to-sales ratio of 1.9, below the industry average of 2.8.
At 11, its trailing-twelve-months PE ratio is low, as is its price-to-sales ratio.
Freeport McMoRan trades at a discount to its 3-year average price-to-sales ratio of 2.218.
The stocks in our table are also expensive when measured by their price-to-sales ratio (PSR).
Again, its price-to-sales ratio of 4.26 is at a premium to the peer group average of 0.70.
Say the company has a price-to-sales ratio of 0.7 while its peers have higher ratios of, say, 2.
Manufacturers ended 2011 with a 1.33 inventory-to-sales ratio, down from 1.34 in November.
But its shares are trading well off its peak price to sales ratio.
He specifically cites and disparages his previous book, Superstocks, that introduced the price-to-sales ratio as a way to find undervalued stocks.
In addition, Alliance Fiber sports a debt-free balance sheet with 75 cents per share in cash, while Bookham's price-to-sales ratio is 1.6.
The next criteria we look for is a price-to-sales ratio below 1.5.
Similarly, with a price-to-sales ratio of 2.61x, the stock looks rather undervalued compared to the historically normal range of 3.43x to 10.44x.
Maybe Mr. Weiss is aware that American Greetings trades well below its average price-to-sales ratio for the past three years of 0.48.
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These new shares expand market capitalization and drive up the price-to-sales ratio.
The price-to-sales ratio remains a useful tool in sizing up a stock.
Specifically, we valued his retail stores based on a price-to-sales ratio derived from comparable public companies and by valuing the underlying real estate.
Its price-sales ratio is 27% below its 3.5 average since 2008, and the discount to its five-year average price-to-book value ratio is 31%.
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As of June, the inventory-sales ratio for retailers had returned to its downtrend, but was still above trend for wholesalers and, especially, manufacturers.
All things being equal, a low price-to-sales ratio is good news for investors, while a very high price-to-sales ratio can be a warning sign.
Coupled with high relative strength in the previous twelve months, a low price-to-sales ratio is one of the most potent combinations of investment criteria.
The total inventory-to-sales ratio ended the year at 1.26 on a seasonally adjusted basis, compared with 1.28 at the end of 2010, the government said.
Similarly, the current price-to-sales ratio of .49x is equal to the low end of its range established over the last ten years (.49x to .72x).
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Ken Fisher started writing his monthly column in 1984, the same year he gained international attention for his book Super Stocks, which popularized the price-to-sales ratio.
If the company can turn things around, its shares will enjoy substantial upside as the price-to-sales ratio becomes more closely matched with those of its peers.
Ken Fisher started writing his monthly column in 1984, the same year he gained international attention for his bestselling book Super Stocks, which popularized the price-to-sales ratio.
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