Coventry Resources Limited (ASX:CVY) PS Ratio : (As of May. 01, 2024)

Coventry Resources Limited PS Ratio Chart

Coventry Resources Limited Annual Data
	Trend	Jun03	Jun04	Jun05	Jun06	Jun07	Jun08	Jun09	Jun10	Jun11	Jun12
PS Ratio		Get a 7-Day Free Trial					-	-	-	-	-

Competitive Comparison of Coventry Resources Limited's PS Ratio

For the Gold subindustry, Coventry Resources Limited'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.

Coventry Resources Limited's PS Ratio Distribution in the Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, Coventry Resources Limited's PS Ratio distribution charts can be found below:

* The bar in red indicates where Coventry Resources Limited's PS Ratio falls into.

Coventry Resources Limited 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.

Coventry Resources Limited's PS Ratio for today is calculated as

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

The Revenue here is for the trailing 12 months.

Coventry Resources Limited  (ASX:CVY) 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.

Coventry Resources Limited PS Ratio Related Terms

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

Coventry Resources Limited (ASX:CVY) Business Description