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, HMS Holdings's share price is $36.975.
HMS Holdings's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2020 was $7.48. Hence, HMS Holdings's PS Ratio for today is 4.94.
The historical rank and industry rank for HMS Holdings's PS Ratio or its related term are showing as below:
HMSY's PS Ratio is not ranked *
in the Healthcare Providers & Services industry.
Industry Median: 1.51 * Ranked among companies with meaningful PS Ratio only.
The historical data trend for HMS Holdings'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.
For the Health Information Services subindustry, HMS Holdings'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.
HMS Holdings's PS Ratio Distribution in the Healthcare Providers & Services Industry
For the Healthcare Providers & Services industry and Healthcare sector, HMS Holdings's PS Ratio distribution charts can be found below:
* The bar in red indicates where HMS Holdings's PS Ratio falls into.
HMS Holdings 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.
HMS Holdings's PS Ratio for today is calculated as
HMS Holdings's Share Price of today is $36.975. HMS Holdings's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2020 adds up the quarterly data reported by the company within the most recent 12 months, which was $7.48.
* 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:
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.
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.
HMS Holdings PS Ratio Related Terms
Thank you for viewing the detailed overview of HMS Holdings's PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
HMS Holdings Corp is a United States-based holding company that conducts businesses through its operating subsidiaries. The company offers services that help customers contain healthcare insurance benefit costs. Its primary offerings comprise coordination of benefits, payment integrity, and eligibility verification. The coordination of benefits service ensures the right party pays a health claim. The payment integrity service ensures the billing and/or payment is accurate and appropriate. The eligibility verification service ensures individuals meet qualifying criteria for healthcare programs. The company's customers include Medicaid agencies, government health agencies, health plans, government and private employers, and others. The company operates only within the United States.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
HMSY has been successfully added to your 