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Strategies & Market Trends : Gorilla and King Portfolio Candidates -- Ignore unavailable to you. Want to Upgrade?


To: areokat who wrote (52017)7/12/2002 10:55:33 AM
From: chaz  Read Replies (1) | Respond to of 54805
 
Kat...

Wait a minute here. Tell me how to calculate a P/S ratio!

I thought it was Total Sales divided by Total Shares divided into Share Price.

If that's correct, For GE the figures are

$125.7 Bil (TTM)
9.938 bil (Shares)
$28.00 (recent Price/Share)

That works out to a P/S ratio of 2.21....yet Jubak put the company on his "high" list....up there with 6,7, and 8!

If I'm correct, GE needs to lose another $15 to get to a P/S of 1.0, where he might think it's "bottomed". I don't want to say we'll never see it, but I suspect he's not checking the work before he publishes it. Not fraud, just an accidental oversight like happens in some financial reports.

Chaz