Claranova SE’s (EPA:CLA) 27% Dip In Price Shows Sentiment Is Matching Revenues
Claranova SE (EPA:CLA) shares have retraced a considerable 27% in the last month, reversing a fair amount of their solid recent performance. Looking back over the past twelve months the stock has been a solid performer regardless, with a gain of 23%.
Since its price has dipped substantially, Claranova may look like a strong buying opportunity at present with its price-to-sales (or “P/S”) ratio of 0.3x, considering almost half of all companies in the Software industry in France have P/S ratios greater than 2.3x and even P/S higher than 6x aren’t out of the ordinary. Nonetheless, we’d need to dig a little deeper to determine if there is a rational basis for the highly reduced P/S.
