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Zydus Lifesciences (BOM:532321) PS Ratio : 5.29 (As of May. 09, 2024)


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What is Zydus Lifesciences PS Ratio?

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, Zydus Lifesciences's share price is ₹967.80. Zydus Lifesciences's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 was ₹182.87. Hence, Zydus Lifesciences's PS Ratio for today is 5.29.

Warning Sign:

Zydus Lifesciences Ltd stock PS Ratio (=5.45) is close to 10-year high of 6

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

BOM:532321' s PS Ratio Range Over the Past 10 Years
Min: 1.67   Med: 3.28   Max: 6
Current: 5.58

During the past 13 years, Zydus Lifesciences's highest PS Ratio was 6.00. The lowest was 1.67. And the median was 3.28.

BOM:532321's PS Ratio is ranked worse than
80.34% of 1002 companies
in the Drug Manufacturers industry
Industry Median: 2.205 vs BOM:532321: 5.58

Zydus Lifesciences's Revenue per Sharefor the three months ended in Dec. 2023 was ₹42.91. Its Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 was ₹182.87.

Good Sign:

Zydus Lifesciences Ltd has shown predictable revenue and earnings growth.

During the past 12 months, the average Revenue per Share Growth Rate of Zydus Lifesciences was 18.10% per year. During the past 3 years, the average Revenue per Share Growth Rate was 7.20% per year. During the past 5 years, the average Revenue per Share Growth Rate was 7.10% per year. During the past 10 years, the average Revenue per Share Growth Rate was 9.90% per year.

During the past 13 years, Zydus Lifesciences's highest 3-Year average Revenue per Share Growth Rate was 23.10% per year. The lowest was -9.30% per year. And the median was 14.00% per year.

Back to Basics: PS Ratio


Zydus Lifesciences PS Ratio Historical Data

The historical data trend for Zydus Lifesciences'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.

Zydus Lifesciences PS Ratio Chart

Zydus Lifesciences Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.78 1.98 3.20 2.41 2.96

Zydus Lifesciences Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
PS Ratio Get a 7-Day Free Trial 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 2.71 2.96 3.28 3.40 3.77

Competitive Comparison of Zydus Lifesciences's PS Ratio

For the Drug Manufacturers - Specialty & Generic subindustry, Zydus Lifesciences'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.


Zydus Lifesciences's PS Ratio Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Zydus Lifesciences's PS Ratio distribution charts can be found below:

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



Zydus Lifesciences 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.

Zydus Lifesciences's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=967.80/182.866
=5.29

Zydus Lifesciences's Share Price of today is ₹967.80.
Zydus Lifesciences's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was ₹182.87.

* 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.


Zydus Lifesciences  (BOM:532321) 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.


Zydus Lifesciences PS Ratio Related Terms

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Zydus Lifesciences (BOM:532321) Business Description

Traded in Other Exchanges
Address
Scheme No. 63, Sarkhej-Gandhinagar Highway, Zydus Corporate Park, Survey No. 536, Near Vaishnodevi Circle, Khoraj (Gandhinagar), Ahmedabad, GJ, IND, 382481
Zydus Lifesciences Ltd is a specialty and generic drug manufacturing company. The product portfolio of the group includes Active Pharmaceutical Ingredients, human formulations, Health and wellness, and Animal health and veterinary products. Its product brands include Aten, Falcigo, Nucoxia, Levoday, Metscore and Arzep among others. It has two segments Pharmaceuticals and Consumer Products. It generates majority of its revenue from the Pharmaceutical segment.

Zydus Lifesciences (BOM:532321) Headlines

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