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Lafarge (XSWX:LG) PS Ratio : 1.29 (As of May. 14, 2024)


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What is Lafarge 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, Lafarge's share price is CHF66.60. Lafarge's Revenue per Share for the trailing twelve months (TTM) ended in Jun. 2015 was CHF51.64. Hence, Lafarge's PS Ratio for today is 1.29.

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

XSWX:LG' s PS Ratio Range Over the Past 10 Years
Min: 0.31   Med: 0.96   Max: 1.51
Current: 1.3

During the past 13 years, Lafarge's highest PS Ratio was 1.51. The lowest was 0.31. And the median was 0.96.

XSWX:LG's PS Ratio is not ranked
in the Building Materials industry.
Industry Median: 1.135 vs XSWX:LG: 1.30

Lafarge's Revenue per Sharefor the three months ended in Jun. 2015 was CHF12.87. Its Revenue per Share for the trailing twelve months (TTM) ended in Jun. 2015 was CHF51.64.

Warning Sign:

Lafarge SA revenue has been in decline for the last 5 years.

During the past 12 months, the average Revenue per Share Growth Rate of Lafarge was -10.70% per year. During the past 3 years, the average Revenue per Share Growth Rate was -8.00% per year. During the past 5 years, the average Revenue per Share Growth Rate was -7.20% per year. During the past 10 years, the average Revenue per Share Growth Rate was -7.20% per year.

During the past 13 years, Lafarge's highest 3-Year average Revenue per Share Growth Rate was 14.60% per year. The lowest was 0.00% per year. And the median was -4.65% per year.

Back to Basics: PS Ratio


Lafarge PS Ratio Historical Data

The historical data trend for Lafarge'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.

Lafarge PS Ratio Chart

Lafarge Annual Data
Trend Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14
PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.90 0.47 0.91 1.24 1.19

Lafarge Quarterly Data
Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15
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 1.41 1.20 1.19 1.15 1.22

Competitive Comparison of Lafarge's PS Ratio

For the Building Materials subindustry, Lafarge'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.


Lafarge's PS Ratio Distribution in the Building Materials Industry

For the Building Materials industry and Basic Materials sector, Lafarge's PS Ratio distribution charts can be found below:

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



Lafarge 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.

Lafarge's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=66.60/51.644
=1.29

Lafarge's Share Price of today is CHF66.60.
Lafarge's Revenue per Share for the trailing twelve months (TTM) ended in Jun. 2015 adds up the quarterly data reported by the company within the most recent 12 months, which was CHF51.64.

* 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.


Lafarge  (XSWX:LG) 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.


Lafarge PS Ratio Related Terms

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Lafarge (XSWX:LG) Business Description

Traded in Other Exchanges
N/A
Address
Lafarge SA is a French limited liability company governed by French law and was founded in France in 1833 and was incorporated in 1884 under the name "J. et A. Pavin de Lafarge". The Company provides building materials. It is engaged in producing & selling cement, aggregates and ready-mix concrete, mostly under the "Lafarge" brand name. Its building products and solutions are used to construct and renovate homes, buildings and infrastructures. At year-end 2013, Company cement production operated, in 56 countries, 113 cement plants and 42 grinding plants, with an annual production capacity of 221 million tons. It also manages cement trading activities. The Company aggregates and concrete are used as raw materials for concrete, masonry, asphalt, and other industrial processes, and as base materials for roads, landfills, and building. As of December 31, 2013, Company had approximately 437 production facilities for aggregates in 23 countries. The Company's Ready-mix concrete had 1,026 concrete plants in 33 countries as of December 31, 2014. The Company also produces asphalt in North America and the United Kingdom, and sells either as a stand-alone product, or in conjunction with contracted paving. The Company operates in Western Europe, North America, Central & Eastern Europe, Middle East & Africa, and Asia.

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