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RWE AG (RWE AG) PS Ratio

: 0.82 (As of Today)
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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, RWE AG's share price is $33.91. RWE AG's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 was $41.38. Hence, RWE AG's PS Ratio for today is 0.82.

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

RWEOY' s PS Ratio Range Over the Past 10 Years
Min: 0.13   Med: 0.72   Max: 1.8
Current: 0.83

During the past 13 years, RWE AG's highest PS Ratio was 1.80. The lowest was 0.13. And the median was 0.72.

RWEOY's PS Ratio is ranked better than
63.73% of 510 companies
in the Utilities - Regulated industry
Industry Median: 1.26 vs RWEOY: 0.83

RWE AG's Revenue per Sharefor the three months ended in Dec. 2023 was $11.16. Its Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 was $41.38.

Warning Sign:

RWE AG revenue per share is in decline over the past 12 months.

During the past 12 months, the average Revenue per Share Growth Rate of RWE AG was -30.90% per year. During the past 3 years, the average Revenue per Share Growth Rate was 21.40% per year. During the past 5 years, the average Revenue per Share Growth Rate was 19.50% per year. During the past 10 years, the average Revenue per Share Growth Rate was -8.30% per year.

During the past 13 years, RWE AG's highest 3-Year average Revenue per Share Growth Rate was 37.60% per year. The lowest was -33.60% per year. And the median was -1.50% per year.

Back to Basics: PS Ratio


RWE AG PS Ratio Historical Data

The historical data trend for RWE AG'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.

RWE AG 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 1.28 1.61 0.98 0.75 1.07

RWE AG Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 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 0.75 0.69 0.76 0.81 1.07

Competitive Comparison

For the Utilities - Diversified subindustry, RWE AG'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.


RWE AG PS Ratio Distribution

For the Utilities - Regulated industry and Utilities sector, RWE AG's PS Ratio distribution charts can be found below:

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



RWE AG 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.

RWE AG's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=33.91/41.376
=0.82

RWE AG's Share Price of today is $33.91.
RWE AG's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $41.38.

* 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.


RWE AG  (OTCPK:RWEOY) 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.


RWE AG PS Ratio Related Terms

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RWE AG (RWE AG) Business Description

Address
RWE Platz 1, Essen, NW, DEU, 45141
Since the deal with E.On, RWE is refocused on power generation, mostly in Europe. It owns 38 gigawatts of power generation capacity: 28% from lignite and hard coal plants, 37% from gas plants, 40% from renewables including pumped storage and batteries. Besides Germany, RWE's power plants are chiefly located in the United Kingdom, the Netherlands, Turkey, and the United States for many onshore wind farms.