GURUFOCUS.COM » STOCK LIST » Basic Materials » Building Materials » Holcim Ltd (OTCPK:HCMLY) » Definitions » PS Ratio

Holcim (Holcim) PS Ratio

: 1.58 (As of Today)
View and export this data going back to 2008. 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, Holcim's share price is $16.9605. Holcim's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 was $10.77. Hence, Holcim's PS Ratio for today is 1.58.

Warning Sign:

Holcim Ltd stock PS Ratio (=1.66) is close to 10-year high of 1.72

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

HCMLY' s PS Ratio Range Over the Past 10 Years
Min: 0.71   Med: 1.13   Max: 1.72
Current: 1.65

During the past 13 years, Holcim's highest PS Ratio was 1.72. The lowest was 0.71. And the median was 1.13.

HCMLY's PS Ratio is ranked worse than
64.06% of 384 companies
in the Building Materials industry
Industry Median: 1.09 vs HCMLY: 1.65

Holcim's Revenue per Sharefor the six months ended in Dec. 2023 was $5.71. Its Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 was $10.77.

Warning Sign:

Holcim Ltd revenue per share is in decline over the past 12 months.

During the past 12 months, the average Revenue per Share Growth Rate of Holcim was -2.10% per year. During the past 3 years, the average Revenue per Share Growth Rate was 7.90% per year. During the past 5 years, the average Revenue per Share Growth Rate was 1.70% per year. During the past 10 years, the average Revenue per Share Growth Rate was -1.90% per year.

During the past 13 years, Holcim's highest 3-Year average Revenue per Share Growth Rate was 20.50% per year. The lowest was -11.90% per year. And the median was -2.70% per year.

Back to Basics: PS Ratio


Holcim PS Ratio Historical Data

The historical data trend for Holcim'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.

Holcim Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
PS Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.22 1.29 1.06 0.99 1.39

Holcim Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
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 1.06 - 0.99 - 1.39

Competitive Comparison

For the Building Materials subindustry, Holcim'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.


Holcim PS Ratio Distribution

For the Building Materials industry and Basic Materials sector, Holcim's PS Ratio distribution charts can be found below:

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



Holcim 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.

Holcim's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=16.9605/10.768
=1.58

Holcim's Share Price of today is $16.9605.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Holcim's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 was $10.77.

* 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.


Holcim  (OTCPK:HCMLY) 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.


Holcim PS Ratio Related Terms

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


Holcim (Holcim) Business Description

Address
Grafenauweg 10, Zug, CHE, CH-6300
Holcim is a global manufacturer of construction materials such as cement, aggregates, and concrete. The company is the result of a merger between Lafarge and Holcim, completed in 2015, which created a leader in the building materials sector. Holcim has a global presence, operating in over 70 countries with 72,000 employees.

Holcim (Holcim) Headlines

From GuruFocus

Longleaf Partners Comments on Holcim

By Sydnee Gatewood 10-26-2021

Longleaf Partners Comments on LafargeHolcim

By Sydnee Gatewood Sydnee Gatewood 01-10-2020

Value in cement: Holcim and its management

By Chandan Dubey Chandan Dubey 03-10-2012

Longleaf Partners Comments on LafargeHolcim

By Holly LaFon Holly LaFon 02-15-2016

Holcim is a very good buy below $48

By Chandan Dubey Chandan Dubey 03-17-2012

Longleaf Partners Comments on LafargeHolcim

By Holly LaFon Holly LaFon 07-10-2019

Longleaf Partners International Fund's Shareholder Letter

By Cody Eustice Cody Eustice 01-25-2016