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Insmed (LTS:0JAV) PS Ratio : 32.30 (As of Dec. 13, 2024)


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What is Insmed PS Ratio?

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, Insmed's share price is $71.35. Insmed's Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2024 was $2.21. Hence, Insmed's PS Ratio for today is 32.30.

Warning Sign:

Insmed Inc stock PS Ratio (=32.62) is close to 5-year high of 35.45

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

LTS:0JAV' s PS Ratio Range Over the Past 10 Years
Min: 8.23   Med: 29.71   Max: 241.88
Current: 31.92

During the past 13 years, Insmed's highest PS Ratio was 241.88. The lowest was 8.23. And the median was 29.71.

LTS:0JAV's PS Ratio is ranked worse than
72.81% of 1015 companies
in the Biotechnology industry
Industry Median: 8.73 vs LTS:0JAV: 31.92

Insmed's Revenue per Sharefor the three months ended in Sep. 2024 was $0.54. Its Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2024 was $2.21.

Warning Sign:

Insmed Inc revenue growth has slowed down over the past 12 months.

During the past 12 months, the average Revenue per Share Growth Rate of Insmed was 8.30% per year. During the past 3 years, the average Revenue per Share Growth Rate was 8.90% per year. During the past 5 years, the average Revenue per Share Growth Rate was 52.60% per year.

During the past 13 years, Insmed's highest 3-Year average Revenue per Share Growth Rate was 481.90% per year. The lowest was -64.30% per year. And the median was 8.65% per year.

Back to Basics: PS Ratio


Insmed PS Ratio Historical Data

The historical data trend for Insmed'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.

Insmed PS Ratio Chart

Insmed Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.80 19.77 16.20 10.02 14.26

Insmed Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
PS Ratio Get a 7-Day Free Trial 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 12.38 14.26 12.33 30.13 33.05

Competitive Comparison of Insmed's PS Ratio

For the Biotechnology subindustry, Insmed'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.


Insmed's PS Ratio Distribution in the Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Insmed's PS Ratio distribution charts can be found below:

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



Insmed 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.

Insmed's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=71.35/2.209
=32.30

Insmed's Share Price of today is $71.35.
Insmed's Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $2.21.

* 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.


Insmed  (LTS:0JAV) 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.


Insmed PS Ratio Related Terms

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Insmed Business Description

Traded in Other Exchanges
Address
700 US Highway 202/206, Bridgewater, NJ, USA, 08807
Insmed Inc is a global biopharmaceutical company transforming the lives of patients with serious and rare diseases. The company's first commercial product is ARIKAYCE (amikacin liposome inhalation suspension), approved in the US for the treatment of Mycobacterium Avium Complex (MAC) lung disease as part of a combination antibacterial drug regimen for adult patients with limited or no alternative treatment options. The company's earlier-stage clinical pipeline includes Brensocatib, a novel oral reversible inhibitor of dipeptidyl peptidase 1 with therapeutic potential in non-cystic fibrosis bronchiectasis and other inflammatory diseases; and INS1009, an inhaled formulation of a treprostinil prodrug that may offer a differentiated product profile for pulmonary arterial hypertension.

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