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Cengage Learning Holdings II (Cengage Learning Holdings II) PS Ratio : 2.27 (As of May. 12, 2024)


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What is Cengage Learning Holdings II 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, Cengage Learning Holdings II's share price is $13.25. Cengage Learning Holdings II's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 was $5.84. Hence, Cengage Learning Holdings II's PS Ratio for today is 2.27.

Warning Sign:

Cengage Learning Holdings II Inc stock PS Ratio (=2.27) is close to 5-year high of 2.27

The historical rank and industry rank for Cengage Learning Holdings II's PS Ratio or its related term are showing as below:

CNGO' s PS Ratio Range Over the Past 10 Years
Min: 0.09   Med: 0.63   Max: 7.64
Current: 2.27

During the past 13 years, Cengage Learning Holdings II's highest PS Ratio was 7.64. The lowest was 0.09. And the median was 0.63.

CNGO's PS Ratio is ranked worse than
61.98% of 263 companies
in the Education industry
Industry Median: 1.51 vs CNGO: 2.27

Cengage Learning Holdings II's Revenue per Sharefor the three months ended in Dec. 2023 was $5.84. Its Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 was $5.84.

Warning Sign:

Cengage Learning Holdings II Inc 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 Cengage Learning Holdings II was 3.80% per year. During the past 3 years, the average Revenue per Share Growth Rate was -1.80% per year. During the past 5 years, the average Revenue per Share Growth Rate was -1.50% per year. During the past 10 years, the average Revenue per Share Growth Rate was -1.10% per year.

During the past 13 years, Cengage Learning Holdings II's highest 3-Year average Revenue per Share Growth Rate was 3.60% per year. The lowest was -6.00% per year. And the median was -0.95% per year.

Back to Basics: PS Ratio


Cengage Learning Holdings II PS Ratio Historical Data

The historical data trend for Cengage Learning Holdings II'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.

Cengage Learning Holdings II PS Ratio Chart

Cengage Learning Holdings II Annual Data
Trend Jun12 Jun13 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22
PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.26 0.35 0.60 0.64 0.86

Cengage Learning Holdings II Quarterly Data
Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Dec23
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 0.86 0.86 0.63 0.61 1.67

Competitive Comparison of Cengage Learning Holdings II's PS Ratio

For the Education & Training Services subindustry, Cengage Learning Holdings II'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.


Cengage Learning Holdings II's PS Ratio Distribution in the Education Industry

For the Education industry and Consumer Defensive sector, Cengage Learning Holdings II's PS Ratio distribution charts can be found below:

* The bar in red indicates where Cengage Learning Holdings II's PS Ratio falls into.



Cengage Learning Holdings II 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.

Cengage Learning Holdings II's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=13.25/5.842
=2.27

Cengage Learning Holdings II's Share Price of today is $13.25.
Cengage Learning Holdings II's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $5.84.

* 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.


Cengage Learning Holdings II  (GREY:CNGO) 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.


Cengage Learning Holdings II PS Ratio Related Terms

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Cengage Learning Holdings II (Cengage Learning Holdings II) Business Description

Traded in Other Exchanges
N/A
Address
200 Pier Four Boulevard, Boston, MA, USA, 02210
Cengage Learning Holdings II Inc is a global provider of high-quality content and innovative digital learning solutions for the global academic skills, school, and research markets. The company's operating segments include Learning, Gale, and International. The learning segment produces a variety of digital and print educational solutions and associated services for the academic, skills, and school markets. It generates maximum revenue from the Learning segment. Geographically, it derives a majority of revenue from the United States.

Cengage Learning Holdings II (Cengage Learning Holdings II) Headlines

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