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CEAT
PS (Price/Sales) Ratio

The Current P/S Ratio of CEAT is 0.86.

Share Price ₹2,507.3Apr 18,2024
Market Cap ₹10,154.6 Cr
Sales-TTM₹11,826.5 CrTTM-Consolidated Results
Price/Sales0.86xCalculated as Market Cap/Sales
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Definition & Calculation of PS (Price/Sales) ratio of CEAT

Price-to-Sales ratio, P/S Multiple, or P/S Ratio is an important valuation multiple that is defined as:

P/S = Market Capitalization / Sales

or, using per-share numbers:

P/S = Stock Price / Sales Per Share

Applying the above formula, P/S ratio of CEAT is calculated as :

Current Market Cap [ ₹10,154.6 Cr] as on Apr 18,2024

(/) Sales [ ₹11,826.5 Cr] based on TTM-Consolidated Results

(=) P/S Ratio [ 0.86x ]

P/S Ratio indicates 'the multiple of sales' investors are willing to pay to own one share of the company.

Thus, for CEAT , the investors are currently willing to pay '0.86 times sales' to own 1 share of the company.

PS Multiples are one of the most widely used valuation multiple in the industry.

P/S ratios can be a reliable benchmark to compare companies with negative earnings or book value.

You may also explore Price to Earnings ratio or Price to Book ratio of CEAT !

The chart below summarizes the trend in P/S Ratio of CEAT over the last five years.

Historical PS (Price/Sales) ratio chart of CEAT


PS Ratio Performance Analysis for CEAT

- CEAT 's latest p/e ratio is 0.86x.

- CEAT 's p/e ratio for fiscal years ending Mar2023 to Mar2019 averaged 0.57x.

- CEAT 's operated at median p/e ratio of 0.52x from fiscal years ending March 2018 to 2022.

- Looking back at the last 5 fiscal years, CEAT 's p/e ratio peaked in Mar2021 at 0.83x.

- CEAT 's p/e ratio hit its five-year low in Mar2022 of 0.4x.


How does CEAT 's P/S Ratio benchmark against top 10 peers in Tyres & Allied Industry?

Peer Comparison (Tyres & Allied Industry)Sales (Cr)PS RatioMarket Cap (Cr)
CEAT 11,826.50.8610,154.6
MRF LTD24,661.62.2254,802.8
BALKRISHNA INDUSTRIES LTD9,004.05.0245,158.9
APOLLO TYRES LTD25,366.81.1930,078.4
JK TYRE & INDUSTRIES LTD14,935.80.7110,580.2
TVS SRICHAKRA LTD2,843.61.153,268.3
GOODYEAR INDIA LTD2,653.81.012,692.6

Tyres & Allied Industry Benchmark (Top 10) PS Analysis vs CEAT 's P/S Ratio

Top 10 Industry PeersPS Ratio
Min industry PS 0.71x
Max industry PS 5.02x
Median industry PS 1.15x
Average industry PS 1.74x



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