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Nippon Souken CoTSE:5840 34 PS Ratio is 1.09 as of Jul. 19, 2026, which is 13% below its 10-year median of 1.25. GuruFocus rates TSE:5840 with a GF Score™ of 34/100 and a GF Value™ of 円596.23 (Modestly Undervalued). Among 501 Insurance companies, Nippon Souken Co ranks better than 53.69% 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, Nippon Souken Co's share price is 円505.00.
Nippon Souken Co's Revenue per Share for the trailing twelve months (TTM) ended in May. 2026 was 円465.07. Hence, Nippon Souken Co's PS Ratio for today is 1.09.
Good Sign:
Nippon Souken Co Ltd stock PS Ratio (=1.15) is close to 3-year low of 1.15.
The historical rank and industry rank for Nippon Souken Co's PS Ratio or its related term are showing as below:
TSE:5840'
s PS Ratio Range Over the Past 10 Years
Min: 1.09 Med: 1.25 Max: 1.89
Current: 1.09
During the past 5 years, Nippon Souken Co's highest PS Ratio was 1.89. The lowest was 1.09. And the median was 1.25.
TSE:5840's PS Ratio is ranked better than 53.69% of 501
companies
in the Insurance industry
Industry Median: 1.14
vs TSE:5840: 1.09
During the past 5 years, Nippon Souken Co's highest 3-Year average Revenue per Share Growth Rate was 21.80% per year. The lowest was 18.00% per year. And the median was 19.90% per year.
Back to Basics: PS Ratio
Nippon Souken Co (TSE:5840) 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.
Nippon Souken Co PS Ratio Related Terms
Nippon Souken Co PS Ratio Historical Data
* Premium members only.
The historical data trend for Nippon Souken 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 Insurance Brokers subindustry, Nippon Souken 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.
Nippon Souken Co PS Ratio vs Insurance Industry
For the Insurance industry and Financial Services sector, Nippon Souken Co's PS Ratio distribution charts can be found below:
* The bar in red indicates where Nippon Souken 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.
Nippon Souken Co's Share Price of today is 円505.00.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Nippon Souken Co's Revenue per Share for the trailing twelve months (TTM) ended in May. 2026 was 円465.07.
* 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:
Nippon Souken Co (TSE:5840) has a PS Ratio of 1.09 as of Jul. 19, 2026. Price-to-Sales ratio is the ratio of share price to a company's revenue per share. View historical data on Nippon Souken Co and its competitors. This is 13% below median its historical median of 1.25. Over the past decade, Nippon Souken Co's PS Ratio has ranged from 1.09 to 1.89. According to the industry distribution chart, Nippon Souken Co ranks #232 out of 501 companies in the Insurance industry, placing it in the top 46.3%.
Is Nippon Souken Co's PS Ratio too high?
Nippon Souken Co's current PS Ratio of 1.09 is 13% below median its 10-year median of 1.25. Over the past 10 years, this metric has ranged from a low of 1.09 to a high of 1.89. The Insurance industry median PS Ratio is 1.14. Nippon Souken Co's value of 1.09 is 4.4% below this industry median. Based on the distribution chart, Nippon Souken Co ranks #232 out of 501 companies in the Insurance industry, which is above the industry midpoint. Overall, Nippon Souken Co has a GF Score™ of 34/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Nippon Souken Co's PS Ratio compare to MRSH and AON?
According to the Insurance industry distribution chart, Nippon Souken Co ranks #232 out of 501 companies for PS Ratio. This puts Nippon Souken Co in the upper half of its industry. The industry median PS Ratio is 1.14. Nippon Souken Co's value of 1.09 is 4.4% below this benchmark. Historically, Nippon Souken Co's own PS Ratio has ranged from 1.09 to 1.89 over the past decade. While the company's 10-year median is 1.25 vs. the industry median of 1.14, Nippon Souken Co has consistently been below 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 an Insurance company?
The median PS Ratio among Insurance companies is 1.14, based on 501 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. Nippon Souken Co's current PS Ratio of 1.09 is 4.4% below 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 Nippon Souken Co and its competitors. For the Insurance industry, the median PS Ratio is 1.14 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nippon Souken Co's current PS Ratio is 1.09, which is 13% below median its own 10-year median of 1.25. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nippon Souken Co stock overvalued right now?
Based on GuruFocus' analysis, Nippon Souken Co (TSE:5840) is currently considered Modestly Undervalued. The stock's GF Value™ is 円596.23, compared to a current price of 円505.00 — trading 15.3% below its estimated fair value. The current PS Ratio is 1.09, which is 13% below median its 10-year median of 1.25 and 4.4% below the Insurance industry median of 1.14. Nippon Souken Co's overall GF Score™ is 34/100. 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 Nippon Souken Co (TSE:5840), the current PS Ratio is 1.09 as of Jul. 19, 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 Nippon Souken Co (TSE:5840) Overvalued in 2026?
Based on GuruFocus' analysis, Nippon Souken Co stock appears to be undervalued.
The current stock price of 円505.00 is trading 15.3% below its estimated GF Value™ of 円596.23.
GuruFocus considers Nippon Souken Co to be Modestly Undervalued.
Key valuation signals for TSE:5840:
PS Ratio: 1.09 (13% below median its 10-year median of 1.25)
GF Value™: 円596.23 vs. price of 円505.00 (15.3% below fair value)
Industry Position: 4.4% below the Insurance median (#232 of 501)
No single metric tells the full story. See the TSE:5840 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nippon Souken Co Ltd is an insurance broker authorized by the Financial Services Agency to perform its functions in risk and insurance sector. The company provides a one-stop solution to the problems faced by insurance representatives.
34GF Score
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