The a2 Milk CoASX:A2M -2.63%82 PS Ratio is 2.84 as of Jul. 09, 2026, which is 28% below its 10-year median of 3.94. GuruFocus rates ASX:A2M with a GF Score™ of 82/100 and a GF Value™ of A$6.60 (Fairly Valued). The stock has 3 warning signs investors should review. Among 1,933 Consumer Packaged Goods companies, The a2 Milk Co ranks worse than 84.89% on this metric.
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, The a2 Milk Co's share price is A$7.03.
The a2 Milk Co's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2025 was A$2.47. Hence, The a2 Milk Co's PS Ratio for today is 2.84.
The historical rank and industry rank for The a2 Milk Co's PS Ratio or its related term are showing as below:
ASX:A2M'
s PS Ratio Range Over the Past 10 Years
Min: 1.93 Med: 3.94 Max: 17.89
Current: 2.84
During the past 13 years, The a2 Milk Co's highest PS Ratio was 17.89. The lowest was 1.93. And the median was 3.94.
ASX:A2M's PS Ratio is ranked worse than 84.89% of 1933
companies
in the Consumer Packaged Goods industry
Industry Median: 0.86
vs ASX:A2M: 2.84
During the past 12 months, the average Revenue per Share Growth Rate of The a2 Milk Co was 12.00% per year.
During the past 3 years, the average Revenue per Share Growth Rate was 11.30% per year.
During the past 5 years, the average Revenue per Share Growth Rate was 4.90% per year.
During the past 10 years, the average Revenue per Share Growth Rate was 21.90% per year.
During the past 13 years, The a2 Milk Co's highest 3-Year average Revenue per Share Growth Rate was 73.20% per year. The lowest was -3.30% per year. And the median was 35.90% per year.
Back to Basics: PS Ratio
The a2 Milk Co (ASX:A2M) 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.
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.
The a2 Milk Co PS Ratio Related Terms
The a2 Milk Co PS Ratio Historical Data
* Premium members only.
The historical data trend for The a2 Milk Co'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 Packaged Foods subindustry, The a2 Milk Co'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.
The a2 Milk Co PS Ratio vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, The a2 Milk Co's PS Ratio distribution charts can be found below:
* The bar in red indicates where The a2 Milk Co's PS Ratio falls into.
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.
The a2 Milk Co's Share Price of today is A$7.03.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. The a2 Milk Co's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2025 was A$2.47.
* 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 a2 Milk Co (ASX:A2M) has a PS Ratio of 2.84 as of Jul. 09, 2026. Price-to-Sales ratio is the ratio of share price to a company's revenue per share. View historical data on The a2 Milk Co and its competitors. This is 28% below median its historical median of 3.94. Over the past decade, The a2 Milk Co's PS Ratio has ranged from 1.93 to 17.89. According to the industry distribution chart, The a2 Milk Co ranks #1641 out of 1933 companies in the Consumer Packaged Goods industry, placing it in the top 84.9%.
Is The a2 Milk Co's PS Ratio too high?
The a2 Milk Co's current PS Ratio of 2.84 is 28% below median its 10-year median of 3.94. Over the past 10 years, this metric has ranged from a low of 1.93 to a high of 17.89. The Consumer Packaged Goods industry median PS Ratio is 0.86. The a2 Milk Co's value of 2.84 is 230.2% above this industry median. Based on the distribution chart, The a2 Milk Co ranks #1641 out of 1933 companies in the Consumer Packaged Goods industry, which is in the bottom quartile relative to peers. Overall, The a2 Milk Co has a GF Score™ of 82/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does The a2 Milk Co's PS Ratio compare to KHC and GIS?
According to the Consumer Packaged Goods industry distribution chart, The a2 Milk Co ranks #1641 out of 1933 companies for PS Ratio. This places The a2 Milk Co in the lower half of its industry. The industry median PS Ratio is 0.86. The a2 Milk Co's value of 2.84 is 230.2% above this benchmark. Historically, The a2 Milk Co's own PS Ratio has ranged from 1.93 to 17.89 over the past decade. While the company's 10-year median is 3.94 vs. the industry median of 0.86, The a2 Milk Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good PS Ratio for a Consumer Packaged Goods company?
The median PS Ratio among Consumer Packaged Goods companies is 0.86, based on 1,933 companies in the industry. Companies in the top quartile (top 25%) have a PS Ratio significantly above this median, while those in the bottom quartile fall well below. However, PS Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. The a2 Milk Co's current PS Ratio of 2.84 is 230.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high PS Ratio mean?
A high PS Ratio can signal that a stock is expensive relative to its fundamentals. Price-to-Sales ratio is the ratio of share price to a company's revenue per share. View historical data on The a2 Milk Co and its competitors. For the Consumer Packaged Goods industry, the median PS Ratio is 0.86 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The a2 Milk Co's current PS Ratio is 2.84, which is 28% below median its own 10-year median of 3.94. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The a2 Milk Co stock overvalued right now?
Based on GuruFocus' analysis, The a2 Milk Co (ASX:A2M) is currently considered Fairly Valued. The stock's GF Value™ is A$6.60, compared to a current price of A$7.03 — trading 6.5% above its estimated fair value. The current PS Ratio is 2.84, which is 28% below median its 10-year median of 3.94 and 230.2% above the Consumer Packaged Goods industry median of 0.86. The a2 Milk Co's overall GF Score™ is 82/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PS Ratio calculated?
PS Ratio is calculated from a company's financial statements. For The a2 Milk Co (ASX:A2M), the current PS Ratio is 2.84 as of Jul. 09, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is The a2 Milk Co (ASX:A2M) Overvalued in 2026?
Based on GuruFocus' analysis, The a2 Milk Co stock appears to be overvalued.
The current stock price of A$7.03 is trading 6.5% above its estimated GF Value™ of A$6.60.
GuruFocus considers The a2 Milk Co to be Fairly Valued.
Key valuation signals for ASX:A2M:
PS Ratio: 2.84 (28% below median its 10-year median of 3.94)
GF Value™: A$6.60 vs. price of A$7.03 (6.5% above fair value)
Industry Position: 230.2% above the Consumer Packaged Goods median (#1641 of 1933)
No single metric tells the full story. See the ASX:A2M stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
A2 Milk is a New Zealand licensor and marketer of fresh milk, infant formula, and other dairy products that lack the A1 beta-casein protein. The firm was founded in 2000 by Corran McLachlan, who developed a genetic test to determine which proteins a cow produces in its milk, and business partner Howard Paterson. The company has been through a tumultuous history of receivership, legal battles, and strategic shifts, but emerged in its current structure in 2006 and listed publicly in March 2013.
82GF Score
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