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HP PS Ratio

: 0.59 (As of Today)
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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, HP's share price is $34.695. HP's Revenue per Share for the trailing twelve months (TTM) ended in Apr. 2022 was $58.48. Hence, HP's PS Ratio for today is 0.59.

Good Sign:

HP Inc stock PS Ratio (=0.58) is close to 1-year low of 0.53

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

HPQ' s PS Ratio Range Over the Past 10 Years
Min: 0.09   Med: 0.53   Max: 1.88
Current: 0.58

During the past 13 years, HP's highest PS Ratio was 1.88. The lowest was 0.09. And the median was 0.53.

HPQ's PS Ratio is ranked better than
75.98% of 2402 companies
in the Hardware industry
Industry Median: 1.30 vs HPQ: 0.58

HP's Revenue per Sharefor the three months ended in Apr. 2022 was $15.53. Its Revenue per Share for the trailing twelve months (TTM) ended in Apr. 2022 was $58.48.

During the past 12 months, the average Revenue per Share Growth Rate of HP was 26.80% per year. During the past 3 years, the average Revenue per Share Growth Rate was 13.30% per year. During the past 5 years, the average Revenue per Share Growth Rate was 12.20% per year. During the past 10 years, the average Revenue per Share Growth Rate was -2.80% per year.

During the past 13 years, HP's highest 3-Year average Revenue per Share Growth Rate was 22.40% per year. The lowest was -22.80% per year. And the median was 10.40% per year.

Back to Basics: PS Ratio


HP PS Ratio Historical Data

The historical data trend for HP'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.

HP Annual Data
Trend Oct12 Oct13 Oct14 Oct15 Oct16 Oct17 Oct18 Oct19 Oct20 Oct21
PS Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.70 0.67 0.45 0.45 0.58

HP Quarterly Data
Jul17 Oct17 Jan18 Apr18 Jul18 Oct18 Jan19 Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22
PS Ratio 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 Premium Member Only Premium Member Only Premium Member Only 0.74 0.59 0.58 0.66 0.63

Competitive Comparison

For the Computer Hardware subindustry, HP'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.

   

HP PS Ratio Distribution

For the Hardware industry and Technology sector, HP's PS Ratio distribution charts can be found below:

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



HP 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.

HP's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=34.695/58.483
=0.59

HP's Share Price of today is $34.695.
HP's Revenue per Share for the trailing twelve months (TTM) ended in Apr. 2022 adds up the quarterly data reported by the company within the most recent 12 months, which was $58.48.

* 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.


HP  (NYSE:HPQ) 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.


HP PS Ratio Related Terms

Thank you for viewing the detailed overview of HP's PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


HP Business Description

HP logo
Address
1501 Page Mill Road, Palo Alto, CA, USA, 94304
HP Inc. is a leading provider of computers, printers, and printer supplies. The company's three operating business segments are its personal systems, containing notebooks, desktops, and workstations; and its printing segment which contains supplies, consumer hardware, and commercial hardware; and corporate investments. In 2015, Hewlett-Packard was separated into HP Inc. and Hewlett Packard Enterprise and the Palo Alto, California-based company sells on a global scale.
Executives
Rucker Kim K.w. director KRAFT FOODS GROUP, INC. THREE LAKES DRIVE NORTHFIELD IL 60093
Clemmer Richard L director P O BOX 34552 LAS VEGAS NV 89129
Miscik Judith A director 300 RENAISSANCE CENTER M/C: 482-C24-A68 DETROIT MI 48265
Faust Jonathan P officer: Global Controller C/O HP INC 1501 PAGE MILL ROAD PALO ALTO CA 94304
Buffett Warren E 10 percent owner 3555 FARNAM ST STE 1440 OMAHA NE 68131
Berkshire Hathaway Inc 10 percent owner 3555 FARNAM STREET OMAHA NE 68131
Broussard Bruce D director 500 W. MAIN STREET C/O HUMANA LAW DEPT. LOUISVILLE KY 40202
Cho Alex officer: President, Personal Systems HP 1501 PAGE MILL ROAD PALO ALTO CA 94304
Anderson Harvey officer: Chief Legal Officer & Sec C/O HP INC. 1501 PAGE MILL RD PALO ALTO CA 94304
Ludgate Kristen M officer: Chief People Officer 3M COMPANY OFFICE OF GENERAL COUNSEL 3M CENTER ST. PAUL MN 55144-1000
Weiszhaar Barbara Barton officer: Acting Controller C/O HP INC. 1501 PAGE MILL ROAD PALO ALTO CA 93404
Mohr Cheryl A. officer: Acting Chief HR Officer C/O HP INC. 1501 PAGE MILL RD PALO ALTO CA 94304
Schell Christoph officer: Chief Commercial Officer 1501 PAGE MILL ROAD PALO ALTO CA 94304
Tran Tuan officer: President of Printing 1501 PAGE MILL ROAD PALO ALTO CA 94304
Matsuoka Yoky director HP 1501 PAGE MILL ROAD PALO ALTO CA 94304

HP Headlines

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