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, National Instruments's share price is $59.98.
National Instruments's Revenue per Share for the trailing twelve months (TTM) ended in Jun. 2023 was $13.03. Hence, National Instruments's PS Ratio for today is 4.60.
Warning Sign:
National Instruments Corp stock PS Ratio (=4.6) is close to 5-year high of 4.92
The historical rank and industry rank for National Instruments's PS Ratio or its related term are showing as below:
NATI'
s PS Ratio Range Over the Past 10 Years
Min: 2.56 Med: 3.56 Max: 5.38
Current: 4.6
During the past 13 years, National Instruments's highest PS Ratio was 5.38. The lowest was 2.56. And the median was 3.56.
NATI's PS Ratio is not ranked
in the Software industry.
Industry Median: 2.22
vs NATI: 4.60
National Instruments Corp has shown predictable revenue and earnings growth.
During the past 12 months, the average Revenue per Share Growth Rate of National Instruments was 10.60% per year.
During the past 3 years, the average Revenue per Share Growth Rate was 7.00% per year.
During the past 5 years, the average Revenue per Share Growth Rate was 4.10% per year.
During the past 10 years, the average Revenue per Share Growth Rate was 2.20% per year.
During the past 13 years, National Instruments's highest 3-Year average Revenue per Share Growth Rate was 17.20% per year. The lowest was -0.20% per year. And the median was 7.00% per year.
Back to Basics: PS Ratio
National Instruments PS Ratio Historical Data
The historical data trend for National Instruments'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.
Competitive Comparison of National Instruments's PS Ratio
For the Software - Application subindustry, National Instruments'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.
National Instruments's PS Ratio Distribution in the Software Industry
For the Software industry and Technology sector, National Instruments's PS Ratio distribution charts can be found below:
* The bar in red indicates where National Instruments's PS Ratio falls into.
National Instruments 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.
National Instruments's Share Price of today is $59.98. National Instruments's Revenue per Share for the trailing twelve months (TTM) ended in Jun. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $13.03.
* 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:
National Instruments (NAS:NATI) 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.
National Instruments PS Ratio Related Terms
Thank you for viewing the detailed overview of National Instruments's PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
National Instruments (National Instruments) Business Description
National Instruments provides testing and measurement equipment and integrated, software-led solutions to serve high-complexity automated testing in late product development. NI serves a long tail of more than 30,000 customers in myriad end markets but focuses on the semiconductor, transportation, and aerospace and defense verticals.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
NATI has been successfully added to your 