This valuation method assumes that the stock valuation will revert to its historical (10-Year) mean in terms of PS Ratio. The reason we use PS Ratio instead of PE Ratio or PB Ratio is because PS Ratio is independent of profit margin, and can be applied to a broader range of situations.
The historical rank and industry rank for Arena Pharmaceuticals's Median PS Value or its related term are showing as below:
ARNA'
s Price-to-Median-PS-Value Range Over the Past 10 Years
Min: 0.14 Med: 1.39 Max: 3333
Current: 3333
During the past 13 years, the highest Price to Median PS Value of Arena Pharmaceuticals was 3333.00. The lowest was 0.14. And the median was 1.39.
ARNA's Price-to-Median-PS-Value is not ranked
in the Biotechnology industry.
Industry Median: 0.64
vs ARNA: 3333.00
Arena Pharmaceuticals Median PS Value Historical Data
The historical data trend for Arena Pharmaceuticals's Median PS Value 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.
Competitive Comparison of Arena Pharmaceuticals's Median PS Value
For the Biotechnology subindustry, Arena Pharmaceuticals's Price-to-Median-PS-Value, along with its competitors' market caps and Price-to-Median-PS-Value 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.
Arena Pharmaceuticals's Price-to-Median-PS-Value Distribution in the Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Arena Pharmaceuticals's Price-to-Median-PS-Value distribution charts can be found below:
* The bar in red indicates where Arena Pharmaceuticals's Price-to-Median-PS-Value falls into.
10-Year Median PS Ratio is 30.
Arena Pharmaceuticals's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2021 adds up the quarterly data reported by the company within the most recent 12 months, which was $0.001.
* 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.
Arena Pharmaceuticals (NAS:ARNA) Median PS Value Explanation
This valuation method assumes that the stock valuation will revert to its historical (10-Year) mean in terms of PS Ratio. The reason we use PS Ratio instead of PE Ratio or PB Ratio
is because PS Ratio is independent of profit margin, and can be applied to a broader range of situations.
It also assumes that over time the profit margin is constant. If a company increases its profit margin to a sustainable level, this value might under-estimate its value. If it has permanent declined profit margins, this may over-estimate the company's value.
Arena Pharmaceuticals's Price to Median PS Value for today is calculated as
Price to Median PS Value
=
Share Price
/
Median PS Value
=
99.99
/
0.03
=
3,333.00
* 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.
Arena Pharmaceuticals Median PS Value Related Terms
Thank you for viewing the detailed overview of Arena Pharmaceuticals's Median PS Value provided by GuruFocus.com. Please click on the following links to see related term pages.
Arena Pharmaceuticals (Arena Pharmaceuticals) Business Description
Arena Pharmaceuticals is a biotechnology company targeting G-protein-coupled receptors. The company has one internally discovered drug, lorcaserin, which has been approved and is marketed in the U.S. and South Korea to target weight management. It is commercialized under the brand name Belviq. The company is collaborating with Eisai to market Belviq in other countries. It has a presence in Europe through its Swiss subsidiary, Arena GmbH. The company's pipeline contains drugs targeting autoimmune diseases, vascular diseases, thrombotic diseases, dementia-associated psychosis, nervous system issues, and pain.
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