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LOLC Finance (COL:LOFC.N0000) PS Ratio : 4.85 (As of May. 14, 2024)


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What is LOLC Finance 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, LOLC Finance's share price is රු6.80. LOLC Finance's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 was රු1.40. Hence, LOLC Finance's PS Ratio for today is 4.85.

Warning Sign:

LOLC Finance PLC stock PS Ratio (=5.06) is close to 2-year high of 5.13

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

COL:LOFC.N0000' s PS Ratio Range Over the Past 10 Years
Min: 0.43   Med: 1.28   Max: 6.62
Current: 5.06

During the past 13 years, LOLC Finance's highest PS Ratio was 6.62. The lowest was 0.43. And the median was 1.28.

COL:LOFC.N0000's PS Ratio is ranked worse than
63.34% of 521 companies
in the Credit Services industry
Industry Median: 3.12 vs COL:LOFC.N0000: 5.06

LOLC Finance's Revenue per Sharefor the three months ended in Dec. 2023 was රු0.56. Its Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 was රු1.40.

Warning Sign:

LOLC Finance PLC revenue per share has been in decline for the last 5 years.

During the past 12 months, the average Revenue per Share Growth Rate of LOLC Finance was -29.80% per year. During the past 3 years, the average Revenue per Share Growth Rate was -26.70% per year. During the past 5 years, the average Revenue per Share Growth Rate was -10.90% per year. During the past 10 years, the average Revenue per Share Growth Rate was 9.20% per year.

During the past 13 years, LOLC Finance's highest 3-Year average Revenue per Share Growth Rate was 193.20% per year. The lowest was -26.70% per year. And the median was 21.50% per year.

Back to Basics: PS Ratio


LOLC Finance PS Ratio Historical Data

The historical data trend for LOLC Finance'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.

LOLC Finance PS Ratio Chart

LOLC Finance 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 0.52 0.47 1.11 2.56 3.25

LOLC Finance 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 4.10 3.25 3.07 3.12 3.28

Competitive Comparison of LOLC Finance's PS Ratio

For the Credit Services subindustry, LOLC Finance'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.


LOLC Finance's PS Ratio Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, LOLC Finance's PS Ratio distribution charts can be found below:

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



LOLC Finance 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.

LOLC Finance's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=6.80/1.403
=4.85

LOLC Finance's Share Price of today is රු6.80.
LOLC Finance'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 රු1.40.

* 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.


LOLC Finance  (COL:LOFC.N0000) 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.


LOLC Finance PS Ratio Related Terms

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LOLC Finance (COL:LOFC.N0000) Business Description

Traded in Other Exchanges
N/A
Address
No. 100/1 Sri Jayewardenepura Mawatha, Rajagiriya, Colombo, LKA
LOLC Finance PLC is a finance company. The company provides leasing, hire purchase, margin trading, loans, property development, mobilization of public deposits, and Islamic financing services. It has three reportable segments namely SME Finance; Development Finance and Alternative Financial Services. It generates maximum revenue from the SME Finance segment.

LOLC Finance (COL:LOFC.N0000) Headlines

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