Switch to:
Cheung Kong Holdings Ltd (OTCPK:CHEUY)
Median P/S Value
\$109.48 (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. Cheung Kong Holdings Ltd's revenue per share for the trailing twelve months (TTM) ended in Jun. 2016 was \$9.289. Cheung Kong Holdings Ltd's 10-Year median P/S ratio is 9.55. Therefore, the Median P/S Value for today is \$109.48.

As of today, Cheung Kong Holdings Ltd's share price is \$21.81. Cheung Kong Holdings Ltd's median P/S value is \$109.48. Therefore, Cheung Kong Holdings Ltd's Price to Median P/S Value Ratio for today is 0.00.

During the past 13 years, the highest Price to Median P/S Value Ratio of Cheung Kong Holdings Ltd was 14.46. The lowest was 0.21. And the median was 1.13.

Definition

Cheung Kong Holdings Ltd'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 = 9.289 * 9.55 = 88.71

10-Year Median P/S Ratio is 9.55.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Cheung Kong Holdings Ltd's revenue per share for the trailing twelve months (TTM) ended in Jun. 2016 was \$9.289.

* 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.

Cheung Kong Holdings Ltd'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 = 21.81 / 88.71 = 0.25

* 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.

Cheung Kong Holdings Ltd Annual Data

 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 medpsvalue 9.01 0.00 9.81 13.12 18.56 25.45 15.77 15.91 19.48 0.00

Cheung Kong Holdings Ltd Semi-Annual Data

 Dec11 Jun12 Dec12 Jun13 Dec13 Jun14 Dec14 Jun15 Dec15 Jun16 medpsvalue 25.45 0.00 15.77 0.00 15.91 0.00 19.48 0.00 0.00 0.00
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to \$400 per referral. ( Learn More)