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Resources Connection (Resources Connection) PS Ratio

: 0.56 (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, Resources Connection's share price is $11.01. Resources Connection's Revenue per Share for the trailing twelve months (TTM) ended in Feb. 2024 was $19.72. Hence, Resources Connection's PS Ratio for today is 0.56.

Good Sign:

Resources Connection Inc stock PS Ratio (=0.56) is close to 3-year low of 0.56

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

RGP' s PS Ratio Range Over the Past 10 Years
Min: 0.43   Med: 0.79   Max: 1.2
Current: 0.56

During the past 13 years, Resources Connection's highest PS Ratio was 1.20. The lowest was 0.43. And the median was 0.79.

RGP's PS Ratio is ranked better than
69.32% of 1066 companies
in the Business Services industry
Industry Median: 1.08 vs RGP: 0.56

Resources Connection's Revenue per Sharefor the three months ended in Feb. 2024 was $4.48. Its Revenue per Share for the trailing twelve months (TTM) ended in Feb. 2024 was $19.72.

Warning Sign:

Resources Connection Inc revenue per share is in decline over the past 12 months.

During the past 12 months, the average Revenue per Share Growth Rate of Resources Connection was -16.90% per year. During the past 3 years, the average Revenue per Share Growth Rate was 1.30% per year. During the past 5 years, the average Revenue per Share Growth Rate was 1.30% per year. During the past 10 years, the average Revenue per Share Growth Rate was 5.80% per year.

During the past 13 years, Resources Connection's highest 3-Year average Revenue per Share Growth Rate was 77.70% per year. The lowest was -12.50% per year. And the median was 7.10% per year.

Back to Basics: PS Ratio


Resources Connection PS Ratio Historical Data

The historical data trend for Resources Connection'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.

Resources Connection Annual Data
Trend May14 May15 May16 May17 May18 May19 May20 May21 May22 May23
PS Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.68 0.50 0.75 0.77 0.67

Resources Connection Quarterly Data
May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24
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 0.76 0.67 0.71 0.66 0.70

Competitive Comparison

For the Consulting Services subindustry, Resources Connection'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.


Resources Connection PS Ratio Distribution

For the Business Services industry and Industrials sector, Resources Connection's PS Ratio distribution charts can be found below:

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



Resources Connection 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.

Resources Connection's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=11.01/19.721
=0.56

Resources Connection's Share Price of today is $11.01.
Resources Connection's Revenue per Share for the trailing twelve months (TTM) ended in Feb. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $19.72.

* 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.


Resources Connection  (NAS:RGP) 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.


Resources Connection PS Ratio Related Terms

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


Resources Connection (Resources Connection) Business Description

Traded in Other Exchanges
Address
17101 Armstrong Avenue, Suite 100, Irvine, CA, USA, 92614
Resources Connection Inc provides consulting and business initiative support services primarily through its operative subsidiary, Resources Global Professionals. It has two segments RGP ( Resources Global Professionals.) and Other segments. The company offers transformation and improvement, financial reporting and analysis, strategy development, and program and project management services and support. Its clients operate in the accounting, finance, corporate governance, risk and compliance management, corporate advisory, strategic communications and restructuring, information management, human capital, supply chain management, and legal and regulatory sectors.
Executives
David P White director 17101 ARMSTRONG AVE., STE 100, IRVINE CA 92614
Neil F Dimick director BUILDING 4, TRIDENT PLACE, MOSQUITO WAY, HATFIELD, HERTFORDSHIRE X0 AL10 9UL
Timothy L Brackney officer: President and COO 17101 ARMSTRONG AVE, STE 100, IRVINE CA 92614
Kate W Duchene director, officer: President & CEO 17101 ARMSTRONG AVE, STE 100, IRVINE CA 92614
Jennifer Y Ryu officer: CFO 17101 ARMSTRONG AVE, STE 100, IRVINE CA 92614
Robert F Kistinger director 17101 ARMSTRONG AVE, STE 100, IRVINE CA 92614
Jolene Sarkis director 17101 ARMSTRONG AVE, STE 100, IRVINE CA 92614
Maltzan Marco Von director 17101 ARMSTRONG AVE, STE 100, IRVINE CA 92614
Susan Collyns director 6053 W CENTURY BLVD STE 1100, C/O CALIFORNIA PIZZA KITCHEN INC, LOS ANGLES CA 90045-6430
Donald B Murray director, officer: Chief Executive Officer 17101 ARMSTRONG AVE, STE 100, IRVINE CA 92614
Anthony Cherbak officer: Executive VP of Operations 17101 ARMSTRONG AVE, STE 100, IRVINE CA 92614
Lisa Pierozzi director 17101 ARMSTRONG AVE, STE 100, IRVINE CA 92614
Susan J Crawford director 17101 ARMSTRONG AVE, IRVINE CA 92614
John D Bower officer: Vice-President of Finance C/O RESOURCES CONNECTION, 695 TOWN CENTER DR, COSTA MESA CA 92626
Michael H Wargotz director AXCESS WORLDWIDE, 515 MADISON AVE., 15TH FLOOR, NEW YORK NY 10022