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Hot Topic Hawke’s Bay
Hot Topic Hawke’s Bay
Margin Call
6 mins to read

Market capitalisation-revenue comparisons can be telling

ANALYSIS: Think about measuring size using price to sales ratios.

Comparisons can be useful for identifying companies at extreme ends of market optimism and pessimism.

A company's size can be measured in different ways. It can be the amount of assets it owns, number of employees, number of factories or amount of income it is generating.

The equity market determines a company's size as its market capitalisation, its share price multiplied by the number of shares

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Richard Stubbs Tue, 21 Jun 2022
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Market capitalisation-revenue comparisons can be telling
Margin Call,
94511
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