Valuation and Valuation Ratios Defined
  • 02 Aug 2024
  • 1 Minute to read
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Valuation and Valuation Ratios Defined

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Article summary

Metric NameShort NameDefinition
Market Cap ($Millions)MktCap ($M)The current market cap.
Enterprise Value ($Millions)EV ($M)The current enterprise value, which is market cap minus net debt.
Price to SalesP:SThe company's market cap divided by its annual revenue.
Current Year Forward Price to SalesPS Current YearThe price to sales ratio using consensus estimates for current year revenue.
Next Year Forward Price to SalesNextYearP:SThe price to sales ratio using consensus estimates for the next year's revenue.
Current Price to EarningsP:ECurrent price to earnings ratio
Current Year Forward Price to EarningsP:Curr Yr EarningsCurrent fiscal year forward price to earnings ratio.
Current Price to Earnings Compared to the S&P 500PE:SP500PEThe price to earnings ratio of the company compared to the S&P 500 using consensus estimates for current year EPS.
Price to Earnings as a Percentile to Overall MarketPEpercentileMktThe comparison percentile rank, between 1 and 100, of the company's price to earnings ratio compared to the entire market, where 1 is the lowest number and 100 is the highest.
Price to Earnings as a Percentile to IndustryPEpercentileIndThe comparison percentile rank, between 1 and 100, of the company's price to earnings ratio compared to the company's industry, where 1 is the lowest number and 100 is the highest.
Price to Earnings Growth RatioPEGThe trailing PEGRatio is the PERatio divided by the annual trailing EPS growth rate as of the most recently reported quarter.
Price To BookP:BookThe latest closing price divided by the latest book value per share (TTM). Exchange Traded Fund (ETF): Returns the fund weighted average ratio of prices of a fund's stocks to the book value of underlying stocks. Aggregate prices are scaled by the sum of individual book values. Closed-End Fund (CEF): Returns the market capitalization weighted average price/book ratio for the securities in the fund's portfolio.
Price To Free Cash FlowP:FCFReturns price to free cash flow ratio.
EV to FCFEV:FCFReturns enterprise value to free cash flow ratio.

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