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Safeway (FRA:SWY) PS Ratio : 0.27 (As of May. 23, 2024)


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What is Safeway PS Ratio?

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. As of today, Safeway's share price is €31.02. Safeway's Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2014 was €116.02. Hence, Safeway's PS Ratio for today is 0.27.

The historical rank and industry rank for Safeway's PS Ratio or its related term are showing as below:

FRA:SWY' s PS Ratio Range Over the Past 10 Years
Min: 0.09   Med: 0.21   Max: 0.37
Current: 0.22

During the past 13 years, Safeway's highest PS Ratio was 0.37. The lowest was 0.09. And the median was 0.21.

FRA:SWY's PS Ratio is not ranked
in the Retail - Defensive industry.
Industry Median: 0.44 vs FRA:SWY: 0.22

Safeway's Revenue per Sharefor the three months ended in Sep. 2014 was €27.92. Its Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2014 was €116.02.

Good Sign:

Safeway Inc has shown predictable revenue and earnings growth.

During the past 12 months, the average Revenue per Share Growth Rate of Safeway was 8.00% per year. During the past 3 years, the average Revenue per Share Growth Rate was 11.40% per year. During the past 5 years, the average Revenue per Share Growth Rate was 12.00% per year. During the past 10 years, the average Revenue per Share Growth Rate was 7.30% per year.

During the past 13 years, Safeway's highest 3-Year average Revenue per Share Growth Rate was 15.60% per year. The lowest was 3.30% per year. And the median was 8.15% per year.

Back to Basics: PS Ratio


Safeway PS Ratio Historical Data

The historical data trend for Safeway's PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Safeway PS Ratio Chart

Safeway Annual Data
Trend Dec04 Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13
PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.19 0.19 0.15 0.11 0.19

Safeway Quarterly Data
Dec09 Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14
PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.20 0.19 0.22 0.22 0.22

Competitive Comparison of Safeway's PS Ratio

For the Grocery Stores subindustry, Safeway's PS Ratio, along with its competitors' market caps and PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Safeway's PS Ratio Distribution in the Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, Safeway's PS Ratio distribution charts can be found below:

* The bar in red indicates where Safeway's PS Ratio falls into.



Safeway PS Ratio Calculation

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. It is a ratio widely used to value stocks and it was first used by Ken Fisher.

Safeway's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=31.02/116.017
=0.27

Safeway's Share Price of today is €31.02.
Safeway's Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2014 adds up the quarterly data reported by the company within the most recent 12 months, which was €116.02.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:

PS Ratio=Market Cap/Revenue

The Revenue here is for the trailing 12 months.


Safeway  (FRA:SWY) PS Ratio Explanation

The PS Ratio is an excellent valuation indicator if you want to compare a stock with its historical valuation or with the stocks in the same industry. The PS Ratio works especially well when you want to compare the stock's current valuation with its historical valuation. The PS Ratio is a great valuation tool for evaluating cyclical businesses where the PE Ratio works poorly. It works the best when comparing the current valuation with the historical valuation because over time, a company's profit margin tends to revert to the mean.

When the PS Ratio is applied to the whole stock market, it can be used to evaluate the current market valuation and projected returns. In this case, the price is the total market cap of all stocks that are traded, and sales are the GDP of the country. This is how Warren Buffett estimates the broad market valuation and project future returns.

Similar to the PE Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PS Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

The PS Ratio does not tell you how cheap or expensive the stock is. It cannot be used to compare companies in different industries. It works better for companies within the same industry because these companies tend to have similar capital structures and profit margins. It works the best when comparing a company with itself in the past.


Safeway PS Ratio Related Terms

Thank you for viewing the detailed overview of Safeway's PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Safeway (FRA:SWY) Business Description

Traded in Other Exchanges
N/A
Address
Safeway Inc was incorporated in the state of Delaware in July 1986 as SSI Holdings Corporation and, thereafter, its name was changed to Safeway Stores, Incorporated. In February 1990, the Company changed its name to Safeway Inc. The Company is a food and drug retailers in the United States, with 1,335 stores at year-end 2013. The Company's U.S. retail operations are located principally in California, Hawaii, Oregon, Washington, Alaska, Colorado, Arizona, Texas and the Mid-Atlantic region. The Company also has a network of distribution, manufacturing and food-processing facilities. The Company retail business operates into seven geographic retail operating segments; Denver, Eastern, Northern California, Phoenix, Northwest, Texas and Southern California. In all geographical retail operating segments, it operates one store format, where each store offers the same general mix of products with similar pricing to similar categories of customers. The Company does not operate supercenters, warehouse formats, combination clothing/grocery stores or discount stores. It owns and operates GroceryWorks.com Operating Company, LLC ("GroceryWorks"), an online grocery channel doing business under the names Safeway.com and Vons.com. Safeway's stores provide grocery items tailored to local preferences. Its stores offer a selection of food and general merchandise and feature a variety of specialty departments such as bakery, delicatessen, floral and pharmacy. In addition, its stores offer Starbucks coffee shops and adjacent fuel centers. The Company also owns more than 300 other trademarks registered and/or pending in the United States Patent and Trademark Office and other jurisdictions, including trademarks for its product and services such as Safeway, Safeway SELECT, Rancher's Reserve, O Organics, Lucerne, Primo Taglio, Eating Right, mom to mom, waterfront BISTRO, Bright Green, Pantry Essentials, Open Nature, Refreshe, Snack Artist, Signature Café, Priority, just for U, My Simple Nutrition, Ingredients for Life, and other trademarks such as Pak'N Save Foods, Vons, Pavilions, Randalls, Tom Thumb, and Carrs Quality Centers. Blackhawk, a subsidiary of Safeway, provides third-party gift cards, prepaid cards, telecom cards and sports and entertainment cards to a group of top North American retailers for sale to retail customers. The competitive factors that affect the Company's business are location, quality, price, condition of assets, marketing and promotional strategies, service and consumer loyalty to other brands and stores. It faces intense competition from traditional grocery retailers, non-traditional competitors such as supercenters and club stores, as well as from specialty supermarkets, drug stores, dollar stores, convenience stores and restaurants. The Company's compliance with the federal, state, local and foreign laws and regulations have been adopted regulating the discharge of materials into the environment or otherwise related to the p

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