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Beam Inc (NYSE:BEAM)
Median P/S Value
\$0.00 (As of Today)

This valuation method assumes that the stock valuation will revert to its historical mean in terms of Price/Sales Ratio. The reason we use P/S Ratio instead of P/E Ratio or P/B Ratio is because Price/Sales Ratio is independent of profit margin, and can be applied to a broader range of situations.

Median P/S Value is calculated as trailing twelve months (TTM) revenue per share times 10-Year median P/S ratio. Beam Inc's revenue per share for the trailing twelve months (TTM) ended in Dec. 2013 was \$15.619. Beam Inc's 10-Year median P/S ratio is 0.00. Therefore, the Median P/S Value for today is \$0.00.

As of today, Beam Inc's share price is \$83.47. Beam Inc's median P/S value is \$0.00. Therefore, Beam Inc's Price to Median P/S Value Ratio for today is 0.00.

Definition

Beam Inc's Median P/S Value for today is calculated as

 Median P/S Value = Total Annual Sales / Shares Outstanding * 10-Year Median P/S Ratio = Revenue per Share (TTM) * 10-Year Median P/S Ratio = 15.619 * 0.00 = 0.00

10-Year Median P/S Ratio is 0.00.
Beam Inc's revenue per share for the trailing twelve months (TTM) ended in Dec. 2013 was 3.57 (Mar. 2013 ) + 3.909 (Jun. 2013 ) + 3.655 (Sep. 2013 ) + 4.485 (Dec. 2013 ) = \$15.619.

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Explanation

This valuation method assumes that the stock valuation will revert to its historical mean in terms of Price/Sales Ratio. The reason we use P/S Ratio instead of P/E Ratio or P/B Ratio is because Price/Sales Ratio is independent of profit margin, and can be applied to a broader range of situations.

It also assumes that over time the profit margin is constant. If a company increases its profit margin to a sustainable level, this value might under-estimate its value. If it has permanent declined profit margins, this may over-estimate the companys value.

Beam Inc's Price to Median P/S Value Ratio for today is calculated as

 Price to Median P/S Value = Share Price / Median P/S Value = 83.47 / 0.00 =

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Related Terms

Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Beam Inc Annual Data

 Dec04 Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 medpsvalue 58.09 59.66 65.56 64.05 60.89 55.07 19.77 21.48 18.84 19.21

Beam Inc Quarterly Data

 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 medpsvalue 21.66 21.48 11.78 3.90 -3.69 18.84 19.13 19.37 19.10 19.21
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