Stem, Inc. (NYSE:STEM) Stock Catapults 34% Though Its Price And Business Still Lag The Industry
Stem, Inc. (NYSE:STEM) shares have continued their recent momentum with a 34% gain in the last month alone. The annual gain comes to 258% following the latest surge, making investors sit up and take notice.
Even after such a large jump in price, Stem’s price-to-sales (or “P/S”) ratio of 1.2x might still make it look like a buy right now compared to the Electrical industry in the United States, where around half of the companies have P/S ratios above 2.2x and even P/S above 7x are quite common. Although, it’s not wise to just take the P/S at face value as there may be an explanation why it’s limited.
