What Pivotree Inc.’s (CVE:PVT) 27% Share Price Gain Is Not Telling You
The Pivotree Inc. (CVE:PVT) share price has done very well over the last month, posting an excellent gain of 27%. Not all shareholders will be feeling jubilant, since the share price is still down a very disappointing 24% in the last twelve months.
In spite of the firm bounce in price, you could still be forgiven for feeling indifferent about Pivotree’s P/S ratio of 0.4x, since the median price-to-sales (or “P/S”) ratio for the IT industry in Canada is about the same. However, investors might be overlooking a clear opportunity or potential setback if there is no rational basis for the P/S.
