price to sales (PS) ratio |
Definition
Regarded by some stockmarket analysts as a better indicator of the growth potential of a firm, because sales revenue is more difficult to fudge by creative accounting than the earnings. Formula: Share's market price ÷ Sales revenue per share.
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price to sales (PS) ratio is in the Accounting & Auditing, Banking, Commerce & Finance, Investing and Securities & Futures Trading subjects.
price to sales (PS) ratio appears in the definition of the following term: price/sales ratio
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