GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Travel & Leisure » Homeinns Hotel Group (NAS:HMIN) » Definitions » PS Ratio

Homeinns Hotel Group (Homeinns Hotel Group) PS Ratio

: 1.73 (As of Today)
View and export this data going back to . Start your Free Trial

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, Homeinns Hotel Group's share price is $35.71. Homeinns Hotel Group's Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2015 was $20.66. Hence, Homeinns Hotel Group's PS Ratio for today is 1.73.

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

HMIN's PS Ratio is not ranked *
in the Travel & Leisure industry.
Industry Median: 1.61
* Ranked among companies with meaningful PS Ratio only.

Homeinns Hotel Group's Revenue per Sharefor the three months ended in Sep. 2015 was $5.70. Its Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2015 was $20.66.

Back to Basics: PS Ratio


Homeinns Hotel Group PS Ratio Historical Data

The historical data trend for Homeinns Hotel Group'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.

Homeinns Hotel Group Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
PS Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.07 1.57 2.13 1.49 1.65

Homeinns Hotel Group Quarterly Data
Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15
PS Ratio 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 Premium Member Only Premium Member Only Premium Member Only 1.49 1.16 1.52 1.41 1.65

Competitive Comparison

For the Lodging subindustry, Homeinns Hotel Group'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.


Homeinns Hotel Group PS Ratio Distribution

For the Travel & Leisure industry and Consumer Cyclical sector, Homeinns Hotel Group's PS Ratio distribution charts can be found below:

* The bar in red indicates where Homeinns Hotel Group's PS Ratio falls into.



Homeinns Hotel Group 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.

Homeinns Hotel Group's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=35.71/20.661
=1.73

Homeinns Hotel Group's Share Price of today is $35.71.
Homeinns Hotel Group's Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2015 adds up the quarterly data reported by the company within the most recent 12 months, which was $20.66.

* 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.


Homeinns Hotel Group  (NAS:HMIN) 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.


Homeinns Hotel Group PS Ratio Related Terms

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


Homeinns Hotel Group (Homeinns Hotel Group) Business Description

Traded in Other Exchanges
N/A
Address
Homeinns Hotel Group was incorporated in the Cayman Islands on May 2006. The Company develops and operates economy hotels across China under its "Home Inn", "Yitel" and its recently acquired "Motel 168" brands. As of December 31, 2013, the Company had 2,180 hotels in operation, including 872 leased-and-operated hotels and 1,308 franchised-and-managed hotels, with approximately 256,555 rooms located in 287 cities across China, and an additional 161 hotels under development. It competes with other economy hotel chains, such as Jinjiang Star, 7 Days Inn, Han Ting, Green Tree Inn and Super 8, as well as various regional and local economy hotel chains.

Homeinns Hotel Group (Homeinns Hotel Group) Headlines

From GuruFocus

Matthews China Fund Comments on Homeinns Hotel Group

By Vera Yuan Vera Yuan 04-29-2015

Shorting China

By David Pinsen DaveinHackensack 04-25-2010