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Sigma-Aldrich (FRA:SIQ) PS Ratio : 6.48 (As of May. 02, 2024)


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What is Sigma-Aldrich 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, Sigma-Aldrich's share price is €130.90. Sigma-Aldrich's Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2015 was €20.19. Hence, Sigma-Aldrich's PS Ratio for today is 6.48.

Warning Sign:

Sigma-Aldrich Corp stock P/S Ratio (=6.08) is close to 10-year high of 6.09

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

FRA:SIQ' s PS Ratio Range Over the Past 10 Years
Min: 1.92   Med: 3.38   Max: 6.09
Current: 6.08

During the past 13 years, Sigma-Aldrich's highest PS Ratio was 6.09. The lowest was 1.92. And the median was 3.38.

FRA:SIQ's PS Ratio is not ranked
in the Chemicals industry.
Industry Median: 1.45 vs FRA:SIQ: 6.08

Sigma-Aldrich's Revenue per Sharefor the three months ended in Sep. 2015 was €5.18. Its Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2015 was €20.19.

Warning Sign:

Sigma-Aldrich Corp revenue growth has slowed down over the past 12 months.

During the past 3 years, the average Revenue per Share Growth Rate was 4.50% per year. During the past 5 years, the average Revenue per Share Growth Rate was 6.20% per year. During the past 10 years, the average Revenue per Share Growth Rate was 8.20% per year.

During the past 13 years, Sigma-Aldrich's highest 3-Year average Revenue per Share Growth Rate was 16.10% per year. The lowest was 0.40% per year. And the median was 10.80% per year.

Back to Basics: PS Ratio


Sigma-Aldrich PS Ratio Historical Data

The historical data trend for Sigma-Aldrich'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.

Sigma-Aldrich PS Ratio Chart

Sigma-Aldrich Annual Data
Trend Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14
PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.61 3.07 3.42 4.21 5.91

Sigma-Aldrich Quarterly Data
Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15
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 5.92 5.91 6.00 6.08 6.04

Competitive Comparison of Sigma-Aldrich's PS Ratio

For the Specialty Chemicals subindustry, Sigma-Aldrich'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.


Sigma-Aldrich's PS Ratio Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Sigma-Aldrich's PS Ratio distribution charts can be found below:

* The bar in red indicates where Sigma-Aldrich's PS Ratio falls into.



Sigma-Aldrich 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.

Sigma-Aldrich's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=130.90/20.194
=6.48

Sigma-Aldrich's Share Price of today is €130.90.
Sigma-Aldrich's Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2015 adds up the quarterly data reported by the company within the most recent 12 months, which was €20.19.

* 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.


Sigma-Aldrich  (FRA:SIQ) 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.


Sigma-Aldrich PS Ratio Related Terms

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Sigma-Aldrich (FRA:SIQ) Business Description

Traded in Other Exchanges
N/A
Address
Sigma-Aldrich Corp was incorporated under the laws of the State of Delaware in May 1975. The Company is a life science and a technology company that helps in enhancing human health and safety. The Company manufactures and distributes chemicals, biochemicals and other essential products and equipment products to its customers in research and applied labs as well as in industrial and commercial markets. The Company operates in three units including Research, Applied and SAFC Commercial. The Research unit products and services includes chemicals, reagents and kits, enabling the scientists to discover and develop new drugs and materials; Applied unit products and services includes high quality components and kits, chemical reagents, critical raw materials and certified reference standards, providing customized solutions to and constitute critical components and materials for diagnostic companies, testing laboratories and industrial companies; SAFC Commercial unit's products and services are used by its customers to develop and manufacture pharma, biopharma and electronics products. Its customers include pharmaceutical companies, universities, commercial laboratories, industrial companies, biotechnology companies, non-profit organizations, governmental institutions, diagnostic, chemical and electronics companies and hospitals. The Company's trademarks are the brand names; Sigma-Aldrich, Sigma, Aldrich, Fluka, Riedel-de Haën, Supelco, SAFC, SAFC Biosciences, SAFC Hitech, Genosys, Proligo, Pharmorphix, Cerilliant, Vetec, BioReliance and Cell Marque. The Company is subject to extensive regulation by federal, state and local governments and similar international agencies relating to the manufacture, sale and distribution of its products.

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