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Dick's Sporting Goods Inc (NYSE:DKS)
Median P/S Value
$55.17 (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. Dick's Sporting Goods Inc's revenue per share for the trailing twelve months (TTM) ended in Apr. 2016 was $63.412. Dick's Sporting Goods Inc's 10-Year median P/S ratio is 0.87. Therefore, the Median P/S Value for today is $55.17.

As of today, Dick's Sporting Goods Inc's share price is $50.69. Dick's Sporting Goods Inc's median P/S value is $55.17. Therefore, Dick's Sporting Goods Inc's Price to Median P/S Value Ratio for today is 0.92.

DKS' s Price to Median P/S Value Range Over the Past 10 Years
Min: 0.32   Max: 1.36
Current: 0.92

0.32
1.36

During the past 13 years, the highest Price to Median P/S Value Ratio of Dick's Sporting Goods Inc was 1.36. The lowest was 0.32. And the median was 0.97.

DKS's Price to Median P/S Value is ranked higher than
57% of the 956 Companies
in the Global Specialty Retail industry.

( Industry Median: 0.98 vs. DKS: 0.92 )

Definition

Dick's Sporting Goods 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
=63.412*0.87
=55.17

10-Year Median P/S Ratio is 0.87.
Dick's Sporting Goods Inc's revenue per share for the trailing twelve months (TTM) ended in Apr. 2016 was 15.475 (Jul. 2015 ) + 14.099 (Oct. 2015 ) + 19.18 (Jan. 2016 ) + 14.658 (Apr. 2016 ) = $63.412.

* 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.

Dick's Sporting Goods 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
=50.69/55.17
=0.92

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


Related Terms

P/E Ratio, P/B Ratio, P/S Ratio, Intrinsic Value (DCF Projected), Intrinsic Value (DCF), Intrinsic Value (DE), Graham Number, GAVA


Historical Data

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

Dick's Sporting Goods Inc Annual Data

Jan07Jan08Jan09Jan10Jan11Jan12Jan13Jan14Jan15Jan16
medpsvalue 24.5829.1231.1532.6634.9736.0940.3543.0048.7853.87

Dick's Sporting Goods Inc Quarterly Data

Jan14Apr14Jul14Oct14Jan15Apr15Jul15Oct15Jan16Apr16
medpsvalue 43.0043.9345.3846.7648.7850.0851.4852.6853.8755.17
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