The Price to Sales (P/S) ratio is a valuation metric that compares a company's stock price to its revenue. It helps investors determine whether a stock is undervalued or overvalued by showing how much they're paying for each dollar of the company's sales.
Intro Paragraph
Want to evaluate if a stock is fairly priced based on its revenue? The Price to Sales (P/S) Ratio Calculator helps you measure a company is stock price relative to its annual sales per share
This ratio is useful when analyzing companies that may not have profits yet but generate significant revenue. It’s a helpful metric for growth investors and financial analysts to assess valuation without relying solely on earnings
How to Use
Just follow these steps:
- Open the Price to Sales Ratio Calculator
- Enter the company’s market capitalization
- Enter the total revenue for the same period
- Click Calculate
- Instantly get the P/S ratio
The formula used:
Price to Sales Ratio = Market Capitalization ÷ Total Revenue
Benefits
Why this financial tool is useful:
- Helps determine if a stock is overvalued or undervalued
- Useful when companies don’t have net income (e.g. startups or tech firms)
- Quick and accurate — no need to calculate manually
- Useful for stock screening and valuation comparison
- Free and browser-based with a clean interface
- Ideal for investors, analysts, students, and finance professionals
Conclusion / CTA
Use the Price to Sales Ratio Calculator to analyze a company’s value based on its revenue It is fast, simple, and helps you make smarter investment decisions
