Positive Sentiment Still Eludes Compass Diversified (NYSE:CODI) Following 59% Share Price Slump
The Compass Diversified (NYSE:CODI) share price has fared very poorly over the last month, falling by a substantial 59%. The recent drop completes a disastrous twelve months for shareholders, who are sitting on a 70% loss during that time.
After such a large drop in price, Compass Diversified may be sending very bullish signals at the moment with its price-to-sales (or “P/S”) ratio of 0.2x, since almost half of all companies in the Diversified Financial industry in the United States have P/S ratios greater than 2.5x and even P/S higher than 5x are not unusual. Nonetheless, we’d need to dig a little deeper to determine if there is a rational basis for the highly reduced P/S.
