Definitions for "Price-to-Sales Ratio"
Keywords:  latest, psrs, froth, divided, revenue
a company's stock price divided by its annual sales.
PSRs measure the froth in a stock. They are derived by dividing a company's market value (total number of shares outstanding times stock price) by a company's annual sales.
Price per share divided by the latest 12-month sales per share. It's used similarly to price-earnings ratios to identify "out-of-favor" stocks.