Souken Ace Co., Ltd.’s (TSE:1757) 45% Cheaper Price Remains In Tune With Revenues
The Souken Ace Co., Ltd. (TSE:1757) share price has fared very poorly over the last month, falling by a substantial 45%. For any long-term shareholders, the last month ends a year to forget by locking in a 62% share price decline.
Even after such a large drop in price, when almost half of the companies in Japan’s Consumer Durables industry have price-to-sales ratios (or “P/S”) below 0.5x, you may still consider Souken Ace as a stock probably not worth researching with its 1.7x P/S ratio. Although, it’s not wise to just take the P/S at face value as there may be an explanation why it’s as high as it is.
