fundamental

Price to Sales Ratio (P/S)

The Price-to-Sales Ratio (P/S) is a valuation metric that compares a company's market capitalization to its revenue, indicating how much the market pays for each dollar of revenue.

Example: A company with a market capitalization of $2.0 billion and trailing twelve months revenue of $600 million has a P/S ratio of about 3.3x.

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