Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Raama FinanceBOM:538540 +0.52%55 PS Ratio is 12.94 as of Jul. 27, 2026, which is 55% above its 10-year median of 8.37. GuruFocus rates BOM:538540 with a GF Score™ of 55/100. The stock has 3 warning signs investors should review. Among 524 Credit Services companies, Raama Finance ranks worse than 83.97% 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, Raama Finance's share price is ₹19.35.
Raama Finance's Revenue per Share for the trailing twelve months (TTM) ended in Mar. 2026 was ₹1.50. Hence, Raama Finance's PS Ratio for today is 12.94.
The historical rank and industry rank for Raama Finance's PS Ratio or its related term are showing as below:
BOM:538540'
s PS Ratio Range Over the Past 10 Years
Min: 1.58 Med: 8.37 Max: 191.6
Current: 12.95
During the past 13 years, Raama Finance's highest PS Ratio was 191.60. The lowest was 1.58. And the median was 8.37.
BOM:538540's PS Ratio is ranked worse than 83.97% of 524
companies
in the Credit Services industry
Industry Median: 2.855
vs BOM:538540: 12.95
During the past 12 months, the average Revenue per Share Growth Rate of Raama Finance was 1913.50% per year.
During the past 3 years, the average Revenue per Share Growth Rate was 153.90% per year.
During the past 5 years, the average Revenue per Share Growth Rate was 40.60% per year.
During the past 10 years, the average Revenue per Share Growth Rate was 15.70% per year.
During the past 13 years, Raama Finance's highest 3-Year average Revenue per Share Growth Rate was 153.90% per year. The lowest was -9.50% per year. And the median was 4.35% per year.
Back to Basics: PS Ratio
Raama Finance (BOM:538540) 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.
Raama Finance PS Ratio Related Terms
Raama Finance PS Ratio Historical Data
* Premium members only.
The historical data trend for Raama Finance'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 Credit Services subindustry, Raama Finance'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.
Raama Finance PS Ratio vs Credit Services Industry
For the Credit Services industry and Financial Services sector, Raama Finance's PS Ratio distribution charts can be found below:
* The bar in red indicates where Raama Finance'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.
Raama Finance's Share Price of today is ₹19.35. Raama Finance's Revenue per Share for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was ₹1.50.
* 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:
Raama Finance (BOM:538540) has a PS Ratio of 12.94 as of Jul. 27, 2026. Price-to-Sales ratio is the ratio of share price to a company's revenue per share. View historical data on Raama Finance and its competitors. This is 55% above median its historical median of 8.37. Over the past decade, Raama Finance's PS Ratio has ranged from 1.58 to 191.60. According to the industry distribution chart, Raama Finance ranks #440 out of 524 companies in the Credit Services industry, placing it in the top 84%.
Is Raama Finance's PS Ratio too high?
Raama Finance's current PS Ratio of 12.94 is 55% above median its 10-year median of 8.37. Over the past 10 years, this metric has ranged from a low of 1.58 to a high of 191.60. The Credit Services industry median PS Ratio is 2.86. Raama Finance's value of 12.94 is 353.2% above this industry median. Based on the distribution chart, Raama Finance ranks #440 out of 524 companies in the Credit Services industry, which is in the bottom quartile relative to peers. Overall, Raama Finance has a GF Score™ of 55/100, reflecting its overall financial health beyond just this single metric.
How does Raama Finance's PS Ratio compare to V and MA?
According to the Credit Services industry distribution chart, Raama Finance ranks #440 out of 524 companies for PS Ratio. This places Raama Finance in the lower half of its industry. The industry median PS Ratio is 2.86. Raama Finance's value of 12.94 is 353.2% above this benchmark. Historically, Raama Finance's own PS Ratio has ranged from 1.58 to 191.60 over the past decade. While the company's 10-year median is 8.37 vs. the industry median of 2.86, Raama Finance 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 Credit Services company?
The median PS Ratio among Credit Services companies is 2.86, based on 524 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. Raama Finance's current PS Ratio of 12.94 is 353.2% 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 Raama Finance and its competitors. For the Credit Services industry, the median PS Ratio is 2.86 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Raama Finance's current PS Ratio is 12.94, which is 55% above median its own 10-year median of 8.37. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Raama Finance stock overvalued right now?
Raama Finance (BOM:538540) has a current PS Ratio of 12.94. The current PS Ratio is 12.94, which is 55% above median its 10-year median of 8.37 and 353.2% above the Credit Services industry median of 2.86. Raama Finance's overall GF Score™ is 55/100 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 Raama Finance (BOM:538540), the current PS Ratio is 12.94 as of Jul. 27, 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.
Raama Finance Ltd, formerly known as Ramchandra Leasing & Finance Ltd, is a non-banking finance company. It is engaged in commercial loan activities. Its services include leasing (short term and long term) and hire purchase. It provides financial assistance in the form of loans (secured and unsecured) to corporate bodies. The company offers working capital term loan for a term period of a year and two.
55GF Score
Get the complete analysis for BOM:538540
PS Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
BOM:538540 has been successfully added to your 
