EV/Sales

Enterprise value/sales is a financial ratio that compares the total value (as measured by enterprise value) of the company to its sales. The ratio is, strictly speaking, nominated in years; it demonstrates how many dollars of EV are generated by one dollar of yearly sales. Generally, the lower the ratio, the cheaper the company is.^[1] Some investment professionals believe—as enterprise value and sales both consider debt and equity holders—EV/Sales is superior to the oft quoted price/sales ratio.^[2]

References

External links

"Enterprise-Value-To-Sales - EV/Sales". Investopedia.
"Valuing Cyclical Companies by Using the Price/Sales Ratio". The Market Orcale. September 30, 2008.

Financial ratios

Cyclically adjusted price-to-earnings (CAPE)
Capitalization rate (Cap Rate)
Cash return on cash invested (CROCI)
Debt-to-equity (D/E)
Dividend cover
Dividend payout
Enterprise value/EBITDA (EV/EBITDA)
Enterprise value/gross cash invested (EV/GCI)
Enterprise value/sales (EV/Sales)
Loan-to-value (LTV)
Omega
Price-to-book (P/B)
Price/cash flow (P/CF)
Price-earnings (P/E)
Price-earnings to growth (PEG)
Price-sales (P/S)
Return on assets (ROA)
Return on net assets (RONA)
Return on capital (ROC)
Return on capital employed (ROCE)
Return on equity (ROE)
Return on tangible equity (ROTE)
Risk-adjusted return on capital (RAROC)
Risk return (RRR)
Sharpe
Short interest (SIR)
Sortino
Sustainable growth (SGR)
Treynor

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