What Origin Materials, Inc.’s (NASDAQ:ORGN) 30% Share Price Gain Is Not Telling You
Origin Materials, Inc. (NASDAQ:ORGN) shareholders would be excited to see that the share price has had a great month, posting a 30% gain and recovering from prior weakness. Unfortunately, the gains of the last month did little to right the losses of the last year with the stock still down 29% over that time.
Since its price has surged higher, you could be forgiven for thinking Origin Materials is a stock not worth researching with a price-to-sales ratios (or “P/S”) of 3x, considering almost half the companies in the United States’ Chemicals industry have P/S ratios below 1.3x. Nonetheless, we’d need to dig a little deeper to determine if there is a rational basis for the elevated P/S.
