Marushohotta Co.,Ltd.’s (TSE:8105) 67% Share Price Surge Not Quite Adding Up
The Marushohotta Co.,Ltd. (TSE:8105) share price has done very well over the last month, posting an excellent gain of 67%. The last 30 days bring the annual gain to a very sharp 30%.
After such a large jump in price, you could be forgiven for thinking MarushohottaLtd is a stock not worth researching with a price-to-sales ratios (or “P/S”) of 1.2x, considering almost half the companies in Japan’s Luxury industry have P/S ratios below 0.6x. Nonetheless, we’d need to dig a little deeper to determine if there is a rational basis for the elevated P/S.
