Gaon Group Ltd.’s (TLV:GAGR) 26% Share Price Surge Not Quite Adding Up
Gaon Group Ltd. (TLV:GAGR) shares have continued their recent momentum with a 26% gain in the last month alone. The last month tops off a massive increase of 143% in the last year.
In spite of the firm bounce in price, it’s still not a stretch to say that Gaon Group’s price-to-sales (or “P/S”) ratio of 0.4x right now seems quite “middle-of-the-road” compared to the Metals and Mining industry in Israel, where the median P/S ratio is around 0.8x. Although, it’s not wise to simply ignore the P/S without explanation as investors may be disregarding a distinct opportunity or a costly mistake.
