How the Price to Sales Ratio is Useful

Price-to-sales ratios are calculated by dividing share price by annual sales per share and can be useful when evaluating companies with little or no profits.

Source: http://www.investorguide.com/igu-article-828-stock-strategies-evaluating-potential-stock-investments.html

Tags: price-to-sales ratios, technical analysis, stock picking

Was this Tip useful?

Print
Email
Link
Share

Copy and paste this HTML in your website to link to this page

More by Roger Wohlner

Calculating Your Portfolio's Beta
5 Strategies to Achieve Your Expected Rate of Return
6 "Facts" About the Stock Market
Finding Companies that Share the Highest Amount of Profits
Advice on EPS
Three Warning Signs in Financial Reports
Advice on ROE
Using Standard Deviation in Trading
What is Beta (and How to Use It)?
Eliminating Market Risk
Currency Fluctuations and Risk
Before Making the Decision to Purchase a Stock

Related Tips

9 Tricks of the Successful Trader (3 of 9)
A Caution on Using MACD Setups
Finding Companies that Share the Highest Amount of Profits
9 Tricks of the Successful Trader (4 of 9)
Advice on EPS
How Momentum and MACD Histograms to Predict Prices
Capture Profits Using Bands And Channels
Advice on ROE
Differences in Growth and Value Stocks
Coca-Cola and Competition
6 Ideal Conditions for Buying a Stock
A Great Company in the Eyes of Warren Buffett
3 Reasons to Avoid "Hot Stock" Tips
6 Power Ways to Fail with Stocks
9 Stock Picking Tips
The 3 Most Timeless Investment Principles (2 of 3)

How the Price to Cash Ratio is Useful

How the Stock Market is a Newspaper Beauty-Judging Contest

This content can be found on the following page:

Reproduction of all or part of this page, in any format, without written consent is prohibited. If you have questions about this page please feel free to contact us feedback@investorguide.com