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PRMW (Primo Water) PS Ratio : 2.07 (As of Dec. 14, 2024)


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What is Primo Water 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, Primo Water's share price is $24.21. Primo Water's Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2024 was $11.69. Hence, Primo Water's PS Ratio for today is 2.07.

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

PRMW' s PS Ratio Range Over the Past 10 Years
Min: 0.33   Med: 1.21   Max: 2.53
Current: 2.12

During the past 13 years, Primo Water's highest PS Ratio was 2.53. The lowest was 0.33. And the median was 1.21.

PRMW's PS Ratio is ranked worse than
61.61% of 112 companies
in the Beverages - Non-Alcoholic industry
Industry Median: 1.715 vs PRMW: 2.12

Primo Water's Revenue per Sharefor the three months ended in Sep. 2024 was $3.16. Its Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2024 was $11.69.

Warning Sign:

Primo Water Corp revenue per share has been in decline for the last 5 years.

During the past 12 months, the average Revenue per Share Growth Rate of Primo Water was 40.00% per year. During the past 3 years, the average Revenue per Share Growth Rate was -2.80% per year. During the past 5 years, the average Revenue per Share Growth Rate was -4.40% per year. During the past 10 years, the average Revenue per Share Growth Rate was -4.90% per year.

During the past 13 years, Primo Water's highest 3-Year average Revenue per Share Growth Rate was 42.50% per year. The lowest was -12.40% per year. And the median was 1.20% per year.

Back to Basics: PS Ratio


Primo Water PS Ratio Historical Data

The historical data trend for Primo Water'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.

Primo Water PS Ratio Chart

Primo Water 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 1.01 1.24 1.78 1.48 1.35

Primo Water 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 1.66 1.35 1.63 1.92 2.15

Competitive Comparison of Primo Water's PS Ratio

For the Beverages - Non-Alcoholic subindustry, Primo Water'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.


Primo Water's PS Ratio Distribution in the Beverages - Non-Alcoholic Industry

For the Beverages - Non-Alcoholic industry and Consumer Defensive sector, Primo Water's PS Ratio distribution charts can be found below:

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



Primo Water 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.

Primo Water's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=24.21/11.69
=2.07

Primo Water's Share Price of today is $24.21.
Primo Water'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 $11.69.

* 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.


Primo Water  (NYSE:PRMW) 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.


Primo Water PS Ratio Related Terms

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Primo Water Business Description

Traded in Other Exchanges
N/A
Address
1200 Britannia Road East, Mississauga, ON, CAN, L4W 4T5
Primo Water is a pure-play water provider with a variety of products and services, including water delivery, exchange, refill/filtration, and water dispensers. Its operations are concentrated in North America following the divestiture of most of its international business, which has struggled to turn a profit. The firm usually initiates the customer relationship with the sale of water dispensers, and then generates recurring revenue via the water direct and exchange services (two thirds of total sales) by delivering large-format (typically three gallons or greater) water bottles to residential and commercial customers for use atop or inside the dispensers.
Executives
Billy D Prim director 101 NORTH CHERRY STREET, SUITE 501, WINSTON SALEM NC 27101
Mercedes Romero officer: Chief Procurement Officer 4221 WEST BOY SCOUT BOULEVARD, TAMPA FL 33607
Britta Bomhard director 500 CHARLES EWING BLVD, EWING NJ 08628
Derek R. Lewis director 1150 ASSEMBLY DR., SUITE 800, TAMPA FL 33607-4853
Lori Tauber Marcus director C/O THE CHILDREN'S PLACE, 500 PLAZA DRIVE, SECAUCUS NJ 07094
Archana Singh director 111 RIVER STREET, HOBOKEN NJ 08559
Steven P Stanbrook director 1525 HOWE ST, RACINE WI 53403
Susan E. Cates director 101 NORTH CHERRY STREET, SUITE 501, WINSTON-SALEM NC 27101
Eric J Foss director
Thomas Harrington officer: Chief Executive Officer 5519 IDLEWILD AVENUE, TAMPA FL 33634
William Alan Jamieson officer: Global CIO 4221 WEST BOY SCOUT BOULEVARD, TAMPA FL 33607
David W. Hass officer: Chief Financial Officer 101 NORTH CHERRY STREET, SUITE 501, WINSTON-SALEM NC 27101
Jason R Ausher officer: Chief Accounting Officer 110 CORPORATE DRIVE, SUITE 10, PORTSMOUTH NH 03801
Anne Melaragni officer: Chief Human Resources Officer 4221 WEST BOY SCOUT BOULEVARD, TAMPA FL 33607
Marni Morgan Poe officer: Chief Legal Officer/Secretary 5519 W. IDLEWILD AVENUE, TAMPA FL 33634