Price to Sales AnalysisPrice to Sales ratio is typically used for valuing equity relative to its own past performance as well as to performance of other companies or market indexes. In most cases, the lower the ratio the better it is for investors. However, it is advisable for investors to exercise caution when looking at price-to-sales ratios across different industries.
Price to Sales Over Time Pattern
About Price to SalesThe most important factor to remember is that the price of equity takes a firm's debt into account, whereas the sales does not consider financial leverage. Generally speaking, Price to Sales ratio shows how much market values every dollar of the company's sales.
|Compare to competition|
Alcoa Price to Sales Assessment
Based on latest financial disclosure the price to sales indicator of Alcoa Corporation is roughly 0.55 times. This is 98.09% lower than that of the Basic Materials sector, and 98.81% lower than that of Aluminum industry, The Price to Sales for all stocks is 96.91% higher than the company.