With A 27% Price Drop For EDU Holdings Limited (ASX:EDU) You’ll Still Get What You Pay For
The EDU Holdings Limited (ASX:EDU) share price has softened a substantial 27% over the previous 30 days, handing back much of the gains the stock has made lately. Regardless, last month’s decline is barely a blip on the stock’s price chart as it has gained a monstrous 500% in the last year.
In spite of the heavy fall in price, you could still be forgiven for thinking EDU Holdings is a stock not worth researching with a price-to-sales ratios (or “P/S”) of 1.6x, considering almost half the companies in Australia’s Consumer Services industry have P/S ratios below 1x. However, the P/S might be high for a reason and it requires further investigation to determine if it’s justified.
