Switch to:
Oil-Dri Corp of America (NYSE:ODC)
Median P/S Value
$22.30 (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. Oil-Dri Corp of America's revenue per share for the trailing twelve months (TTM) ended in Apr. 2014 was $37.79. Oil-Dri Corp of America's 10-Year median P/S ratio is 0.59. Therefore, the Median P/S Value for today is $22.30.

As of today, Oil-Dri Corp of America's share price is $30.34. Oil-Dri Corp of America's median P/S value is $22.30. Therefore, Oil-Dri Corp of America's Price to Median P/S Value Ratio for today is 1.36.

ODC' s 10-Year Price to Median P/S Value Range
Min: 0.38   Max: 1.65
Current: 1.36

0.38
1.65

During the past 13 years, the highest Price to Median P/S Value Ratio of Oil-Dri Corp of America was 1.65. The lowest was 0.38. And the median was 0.95.

ODC's Price to Median P/S Value is ranked lower than
53% of the 1051 Companies
in the Global Specialty Chemicals industry.

( Industry Median: 1.10 vs. ODC: 1.36 )

Definition

Oil-Dri Corp of America'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
=37.79*0.59
=22.30

10-Year Median P/S Ratio is 0.59.
Oil-Dri Corp of America's revenue per share for the trailing twelve months (TTM) ended in Apr. 2014 was 9.18 (Jul. 2013 ) + 9.11 (Oct. 2013 ) + 9.89 (Jan. 2014 ) + 9.61 (Apr. 2014 ) = $37.79.

* 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.

Oil-Dri Corp of America'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
=30.34/22.30
=1.36

* 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.

Oil-Dri Corp of America Annual Data

Jul04Jul05Jul06Jul07Jul08Jul09Jul10Jul11Jul12Jul13
medpsvalue 14.6914.8416.7717.8119.0119.3617.7818.8420.1221.35

Oil-Dri Corp of America Quarterly Data

Jan12Apr12Jul12Oct12Jan13Apr13Jul13Oct13Jan14Apr14
medpsvalue 19.3619.6920.1220.4420.6621.1621.3521.4622.0822.30
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)
Free 7-day Trial
FEEDBACK
Email Hide