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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?


To: Paul Senior who wrote (43418)7/20/2011 9:19:16 PM
From: Shane M  Respond to of 78659
 
Fisher's Super Stocks. Discusses psr, price-to-sales ratio. Mr Fisher has disavowed this work -- he says p/sales ratio doesn't work for him. I use p/sales comparisons though, and so do several others here, I believe. So this book give the background for that use.

Paul, I loved this book. It's a fresh approach to valuation - especially useful when looking at companies that have yet to hit their stride and are climbing toward ultimate profitability. It's especially good when looking at emerging tech companies. I remember a chart showing P/S along with margins or ultimate expected margins in valuing cos.



To: Paul Senior who wrote (43418)8/4/2020 4:55:05 PM
From: bruwin  Read Replies (1) | Respond to of 78659
 
With reference to ....

Message 27502480

..... I'd agree with Ken Fisher's eventual "conclusion" regarding "p/sales doesn't work for him." Personally, I fail to see the relevance of it as well, but that's just MO.

I'd say that his father Philip didn't regard that ratio highly either if the Index of his book "Common Stocks and Uncommon Profits", on my bookshelf, is anything to go by ...... nothing there about Price/Sales ....