GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Retail - Defensive » Tesco PLC (OTCPK:TSCDY) » Definitions » PS Ratio

Tesco (TSCDY) PS Ratio

: 0.29 (As of Today)
View and export this data going back to . Start your Free Trial

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, Tesco's share price is $10.578. Tesco's Revenue per Share for the trailing twelve months (TTM) ended in Feb. 2024 was $36.11. Hence, Tesco's PS Ratio for today is 0.29.

Good Sign:

Tesco PLC stock PS Ratio (=0.3) is close to 1-year low of 0.28

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

TSCDY' s PS Ratio Range Over the Past 10 Years
Min: 0.2   Med: 0.32   Max: 0.51
Current: 0.3

During the past 13 years, Tesco's highest PS Ratio was 0.51. The lowest was 0.20. And the median was 0.32.

TSCDY's PS Ratio is ranked better than
61.44% of 306 companies
in the Retail - Defensive industry
Industry Median: 0.43 vs TSCDY: 0.30

Tesco's Revenue per Sharefor the six months ended in Feb. 2024 was $18.09. Its Revenue per Share for the trailing twelve months (TTM) ended in Feb. 2024 was $36.11.

During the past 12 months, the average Revenue per Share Growth Rate of Tesco was 8.10% per year. During the past 3 years, the average Revenue per Share Growth Rate was 16.60% per year. During the past 5 years, the average Revenue per Share Growth Rate was 4.20% per year. During the past 10 years, the average Revenue per Share Growth Rate was -1.20% per year.

During the past 13 years, Tesco's highest 3-Year average Revenue per Share Growth Rate was 17.50% per year. The lowest was -12.30% per year. And the median was 8.20% per year.

Back to Basics: PS Ratio


Tesco PS Ratio Historical Data

The historical data trend for Tesco'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.

Tesco Annual Data
Trend Feb15 Feb16 Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23 Feb24
PS Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.38 0.37 0.37 0.29 0.29

Tesco Semi-Annual Data
Aug14 Feb15 Aug15 Feb16 Aug16 Feb17 Aug17 Feb18 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 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 0.37 - 0.29 - 0.29

Competitive Comparison

For the Grocery Stores subindustry, Tesco'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.


Tesco PS Ratio Distribution

For the Retail - Defensive industry and Consumer Defensive sector, Tesco's PS Ratio distribution charts can be found below:

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



Tesco 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.

Tesco's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=10.578/36.108
=0.29

Tesco's Share Price of today is $10.578.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Tesco's Revenue per Share for the trailing twelve months (TTM) ended in Feb. 2024 was $36.11.

* 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.


Tesco  (OTCPK:TSCDY) 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.


Tesco PS Ratio Related Terms

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


Tesco (TSCDY) Business Description

Address
Kestrel Way, Tesco House, Shire Park, Welwyn Garden, GBR, AL7 1GA
Tesco is one of the largest food retailers in the world, operating thousands of stores in the United Kingdom, Ireland, and Europe. According to Kantar, Tesco is the market leader in the U.K. with a share of more than 27%, roughly double that of Asda or Sainsbury's. Tesco operates a core supermarket business in addition to convenience and neighborhood outlets. With a 35% digital market share in the U.K., the company holds a dominant position online. Tesco gained exposure to the cash-and-carry and out-of-home delivering industries with the landmark GBP 4 billion acquisition of Booker in 2018.

Tesco (TSCDY) Headlines

From GuruFocus

Tesco And Its Lofty Profit Margins

By Josh Zachariah Josh Zachariah 06-06-2012

3 High Yield Stocks for the Dividend Investor

By Alberto Abaterusso Alberto Abaterusso 07-21-2020

David Herro Comments on Tesco PLC

By Vera Yuan Vera Yuan 01-09-2015

Tesco, Aldi and What the Customer Says

By Josh Zachariah Josh Zachariah 04-03-2014

Tesco Still Sells For Less Than What Buffett Paid

By Josh Zachariah Josh Zachariah 03-07-2012

The Death of Retail: The Signs Are Out There

By Rupert Hargreaves Rupert Hargreaves 06-20-2017

Tesco Reinstates Dividend

By Holmes Osborne, CFA Holmes Osborne, CFA 10-06-2017

What Special Forces Can Teach Us About Investing

By Joseph L Shaefer Joseph L Shaefer 03-19-2015

What Happened to Tesco?

By Josh Zachariah Josh Zachariah 03-11-2014