Biotech Valuations: P/S ratios are as follows (per Yahoo)
ABGX 45, AFFX 10, AMGN 16, BGEN 9, CELG 25, CEPH 15, DNA 14 GENZ 13, GILD 30, HGSI 257, IDPH 50, IMCL 120, IMNX 17, MEDI 19, MLNM 22, MYGN 27, PDLI 37, SEPR 33
For comparison, P/S ratios for some high tech high fliers:
BRCD 15, BRCM 9, CCMP 9, CIEN 3, EMLX 13, GNSS 15, ISSX 7, JNPR 6, NVDA 10, QCOM 15, QLGC 12, SEBL 7
Also: CSCO 7, INTC 8, MSFT 15, ORCL 8
From Briefing:
"The Return To Traditional Valuations
This theme started in 2000, with the bubble burst, but continued through 2001. For shorthand purposes, you can now use the following guidelines for almost all stocks with any proven revenue stream.
Price/Sales ratios will not be higher than 10
Price/Earnings ratios will not be higher than 40." |
