Common Stock Valuation Ratios (Price Multiples)
Valuation ratios measure the quantity of an asset or flaw (e.g., earnings) associated with ownership of a specified claim (e.g., a share of ownership of the enterprise).
Current Valuation Ratios
Accenture PLC, current price multiples
| Accenture PLC | Adobe Inc. | Cadence Design Systems Inc. | CrowdStrike Holdings Inc. | Fair Isaac Corp. | International Business Machines Corp. | Intuit Inc. | Microsoft Corp. | Oracle Corp. | Palantir Technologies Inc. | Palo Alto Networks Inc. | Salesforce Inc. | ServiceNow Inc. | Synopsys Inc. | Workday Inc. | Software & Services | Information Technology | ||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||||||||||||||||
| Current share price (P) | $298.89 | |||||||||||||||||||
| No. shares of common stock outstanding | 623,155,515 | |||||||||||||||||||
| Growth rate (g) | 17.81% | |||||||||||||||||||
| Earnings per share (EPS) | $11.66 | |||||||||||||||||||
| Next year expected EPS | $13.73 | |||||||||||||||||||
| Operating profit per share | $15.40 | |||||||||||||||||||
| Sales per share | $104.14 | |||||||||||||||||||
| Book value per share (BVPS) | $45.40 | |||||||||||||||||||
| Valuation Ratios (Price Multiples) | ||||||||||||||||||||
| Price to earnings (P/E) | 25.64 | 29.52 | 79.71 | — | 86.77 | 45.49 | 74.15 | 41.95 | 49.35 | 696.04 | 52.94 | 42.07 | 149.34 | 35.15 | 121.83 | 48.29 | 56.07 | |||
| Price to next year expected earnings | 21.76 | 22.31 | 62.91 | — | 41.40 | 45.17 | 66.11 | 32.95 | 17.55 | 839.13 | 61.89 | 40.13 | 133.31 | 30.53 | 121.79 | 39.78 | 44.74 | |||
| Price-earnings-growth (PEG) | 1.44 | 0.91 | 2.98 | — | 0.79 | 65.08 | 6.10 | 1.54 | 0.27 | — | — | 8.70 | 12.42 | 2.33 | 4,908.12 | 2.26 | 2.22 | |||
| Price to operating profit (P/OP) | 19.41 | 24.35 | 62.29 | — | 60.65 | 29.21 | 60.53 | 33.78 | 34.74 | 1,036.41 | 199.52 | 36.18 | 156.02 | 58.68 | 154.41 | 39.28 | 43.46 | |||
| Price to sales (P/S) | 2.87 | 7.63 | 18.13 | 32.11 | 25.91 | 4.37 | 13.49 | 15.08 | 10.70 | 112.27 | 17.00 | 6.88 | 19.37 | 12.98 | 7.59 | 11.94 | 11.57 | |||
| Price to book value (P/BV) | 6.58 | 11.64 | 18.00 | 38.71 | — | 10.03 | 11.92 | 13.77 | 30.03 | 64.30 | 26.39 | 4.26 | 22.15 | 8.85 | 7.09 | 13.86 | 16.47 | |||
Based on: 10-K (reporting date: 2024-08-31).
If the company price multiple is lower then the price multiple of benchmark then company stock is relatively undervalued.
Otherwise, if the company price multiple is higher then the price multiple of benchmark then company stock is relatively overvalued.
Historical Valuation Ratios (Summary)
Accenture PLC, historical price multiples
Based on: 10-K (reporting date: 2024-08-31), 10-K (reporting date: 2023-08-31), 10-K (reporting date: 2022-08-31), 10-K (reporting date: 2021-08-31), 10-K (reporting date: 2020-08-31), 10-K (reporting date: 2019-08-31).
- Price to earnings (P/E) ratio
- The price to earnings ratio exhibited a fluctuating trend over the analyzed periods. Starting at 24.58 in 2019, it increased notably to a peak of 36.58 in 2021. Subsequently, it declined to 22.93 in 2022, before rising again to reach 31.07 by 2024. This pattern suggests variability in market valuation relative to earnings, with a significant peak in 2021 followed by some market correction and renewed investor optimism.
- Price to operating profit (P/OP) ratio
- The price to operating profit ratio mirrored the general trend of the P/E ratio but with slightly lower volatility. It rose from 18.63 in 2019 to a high of 28.35 in 2021. Then, it decreased sharply to 16.83 in 2022, and gradually increased to 23.52 by 2024. The pattern indicates changing investor confidence in operating profitability, showing a peak valuation in 2021 followed by more cautious assessments and a moderate recovery.
- Price to sales (P/S) ratio
- The price to sales ratio showed a consistent upward trend from 2.72 in 2019 to 4.28 in 2021, evidencing increasing market valuation relative to sales. This was followed by a drop to 2.56 in 2022, then a steady rise to 3.48 in 2024. The early rise and subsequent decline and recovery could reflect fluctuations in sales growth expectations or revenue quality assessments by the market across these years.
- Price to book value (P/BV) ratio
- The price to book value ratio demonstrated a more restrained variation compared to other ratios. It increased from 8.15 in 2019 to 11.06 in 2021, then declined to 7.13 in 2022. From that low point, it experienced a moderate uptick to 7.98 in 2024. This suggests that the market's valuation relative to net asset value peaked in 2021 before adjusting downwards with a partial recovery thereafter, indicating adjustments in perceived balance sheet strength or asset value.
Price to Earnings (P/E)
Accenture PLC, historical P/E calculation, comparison to benchmarks
| Aug 31, 2024 | Aug 31, 2023 | Aug 31, 2022 | Aug 31, 2021 | Aug 31, 2020 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 625,163,402 | 627,937,555 | 630,580,797 | 632,153,357 | 634,093,454 | 635,672,438 | |
| Selected Financial Data (US$) | |||||||
| Net income attributable to Accenture plc (in thousands) | 7,264,787) | 6,871,557) | 6,877,169) | 5,906,809) | 5,107,839) | 4,779,112) | |
| Earnings per share (EPS)2 | 11.62 | 10.94 | 10.91 | 9.34 | 8.06 | 7.52 | |
| Share price1, 3 | 361.07 | 304.36 | 250.07 | 341.82 | 228.14 | 184.80 | |
| Valuation Ratio | |||||||
| P/E ratio4 | 31.07 | 27.81 | 22.93 | 36.58 | 28.32 | 24.58 | |
| Benchmarks | |||||||
| P/E Ratio, Competitors5 | |||||||
| Adobe Inc. | 31.98 | 49.64 | 33.15 | 48.90 | 41.69 | 57.17 | |
| Cadence Design Systems Inc. | 67.09 | 78.64 | 59.70 | 53.88 | 62.89 | — | |
| CrowdStrike Holdings Inc. | 892.67 | — | — | — | — | — | |
| Fair Isaac Corp. | 99.26 | 54.13 | 29.67 | 27.12 | 56.83 | 49.99 | |
| International Business Machines Corp. | 39.68 | 22.50 | 71.56 | 19.40 | 19.30 | — | |
| Intuit Inc. | 58.94 | 64.61 | 57.31 | 75.17 | 49.52 | 48.17 | |
| Microsoft Corp. | 35.67 | 33.96 | 28.34 | 35.14 | 35.04 | 26.86 | |
| Oracle Corp. | 37.63 | 38.96 | 26.85 | 15.84 | 16.69 | — | |
| Palantir Technologies Inc. | 632.38 | 246.77 | — | — | — | — | |
| Palo Alto Networks Inc. | 42.42 | 170.35 | — | — | — | — | |
| Salesforce Inc. | 71.24 | 879.57 | 135.68 | 48.20 | 1,204.70 | — | |
| ServiceNow Inc. | 146.40 | 90.80 | 284.28 | 487.70 | 978.47 | — | |
| Synopsys Inc. | 33.69 | 70.08 | 51.76 | 73.37 | 55.92 | 39.55 | |
| Workday Inc. | 50.53 | — | 1,957.29 | — | — | — | |
| P/E Ratio, Sector | |||||||
| Software & Services | 41.74 | 39.95 | 34.37 | 37.37 | 38.32 | — | |
| P/E Ratio, Industry | |||||||
| Information Technology | 45.10 | 35.92 | 26.81 | 29.49 | 31.10 | — | |
Based on: 10-K (reporting date: 2024-08-31), 10-K (reporting date: 2023-08-31), 10-K (reporting date: 2022-08-31), 10-K (reporting date: 2021-08-31), 10-K (reporting date: 2020-08-31), 10-K (reporting date: 2019-08-31).
1 Data adjusted for splits and stock dividends.
2 2024 Calculation
EPS = Net income attributable to Accenture plc ÷ No. shares of common stock outstanding
= 7,264,787,000 ÷ 625,163,402 = 11.62
3 Closing price as at the filing date of Accenture PLC Annual Report.
4 2024 Calculation
P/E ratio = Share price ÷ EPS
= 361.07 ÷ 11.62 = 31.07
5 Click competitor name to see calculations.
- Share Price Trend
- The share price exhibited an overall upward trajectory from 2019 to 2024, with some fluctuations. It increased from $184.8 in 2019 to a peak of $341.82 in 2021, followed by a decline to $250.07 in 2022. Subsequently, the price rebounded to $361.07 in 2024, representing significant growth compared to the initial value in 2019.
- Earnings Per Share (EPS) Progression
- Earnings per share showed consistent improvement throughout the period. Starting at $7.52 in 2019, EPS increased steadily each year, reaching $11.62 in 2024. This reflects a positive earnings growth trend, with the most considerable increments observed between 2020-2022 and a continued albeit slower increase in the following years.
- Price-to-Earnings (P/E) Ratio Variation
- The P/E ratio displayed a volatile pattern over the years. It rose from 24.58 in 2019 to a high of 36.58 in 2021, coinciding with the peak share price. Subsequently, the ratio dropped to 22.93 in 2022, indicating a correction or market revaluation relative to earnings. In the last two years, the P/E ratio increased again to 31.07 in 2024, suggesting elevated market expectations or investor confidence.
- Overall Insights
- The data indicates strong earnings growth and substantial share price appreciation over the six-year horizon. The fluctuations in the P/E ratio suggest changing market perceptions or risk assessments, particularly around 2021 and 2022. Despite the corrections, the rising EPS and share price by 2024 imply a robust performance and positive investor sentiment approaching the latest period.
Price to Operating Profit (P/OP)
Accenture PLC, historical P/OP calculation, comparison to benchmarks
| Aug 31, 2024 | Aug 31, 2023 | Aug 31, 2022 | Aug 31, 2021 | Aug 31, 2020 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 625,163,402 | 627,937,555 | 630,580,797 | 632,153,357 | 634,093,454 | 635,672,438 | |
| Selected Financial Data (US$) | |||||||
| Operating income (in thousands) | 9,595,847) | 8,809,889) | 9,367,181) | 7,621,529) | 6,513,644) | 6,305,074) | |
| Operating profit per share2 | 15.35 | 14.03 | 14.85 | 12.06 | 10.27 | 9.92 | |
| Share price1, 3 | 361.07 | 304.36 | 250.07 | 341.82 | 228.14 | 184.80 | |
| Valuation Ratio | |||||||
| P/OP ratio4 | 23.52 | 21.69 | 16.83 | 28.35 | 22.21 | 18.63 | |
| Benchmarks | |||||||
| P/OP Ratio, Competitors5 | |||||||
| Adobe Inc. | 26.38 | 40.52 | 25.85 | 40.64 | 51.75 | 51.63 | |
| Cadence Design Systems Inc. | 52.42 | 65.43 | 47.21 | 48.13 | 57.54 | — | |
| CrowdStrike Holdings Inc. | — | — | — | — | — | — | |
| Fair Isaac Corp. | 69.38 | 36.15 | 20.43 | 21.03 | 45.39 | 37.88 | |
| International Business Machines Corp. | 25.48 | 17.99 | 14.35 | 16.23 | 15.90 | — | |
| Intuit Inc. | 48.11 | 49.04 | 46.05 | 62.00 | 41.56 | 40.45 | |
| Microsoft Corp. | 28.73 | 27.76 | 24.72 | 30.79 | 29.30 | 24.54 | |
| Oracle Corp. | 25.65 | 25.30 | 16.51 | 14.31 | 12.17 | — | |
| Palantir Technologies Inc. | 941.61 | 431.61 | — | — | — | — | |
| Palo Alto Networks Inc. | 159.88 | 193.40 | — | — | — | — | |
| Salesforce Inc. | 58.80 | 177.62 | 357.52 | 431.39 | 511.08 | — | |
| ServiceNow Inc. | 152.95 | 206.26 | 260.26 | 436.46 | 583.07 | — | |
| Synopsys Inc. | 56.25 | 67.90 | 43.85 | 75.64 | 59.90 | 40.48 | |
| Workday Inc. | 381.31 | — | — | — | — | — | |
| P/OP Ratio, Sector | |||||||
| Software & Services | 33.96 | 31.98 | 27.23 | 33.52 | 31.79 | — | |
| P/OP Ratio, Industry | |||||||
| Information Technology | 34.96 | 29.91 | 22.75 | 26.04 | 26.91 | — | |
Based on: 10-K (reporting date: 2024-08-31), 10-K (reporting date: 2023-08-31), 10-K (reporting date: 2022-08-31), 10-K (reporting date: 2021-08-31), 10-K (reporting date: 2020-08-31), 10-K (reporting date: 2019-08-31).
1 Data adjusted for splits and stock dividends.
2 2024 Calculation
Operating profit per share = Operating income ÷ No. shares of common stock outstanding
= 9,595,847,000 ÷ 625,163,402 = 15.35
3 Closing price as at the filing date of Accenture PLC Annual Report.
4 2024 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 361.07 ÷ 15.35 = 23.52
5 Click competitor name to see calculations.
- Share Price
- The share price demonstrated a general upward trend from 2019 to 2024. It increased significantly from $184.80 in 2019 to $361.07 in 2024, nearly doubling over the six-year period. Notably, the price peaked at $341.82 in 2021 before experiencing a decline to $250.07 in 2022. Following this dip, the price recovered steadily through 2023 and 2024, reaching its highest recorded value of $361.07.
- Operating Profit Per Share
- Operating profit per share showed consistent growth throughout the period. Starting at $9.92 in 2019, it rose steadily each year, with a slight decrease observed in 2023. The figure peaked at $15.35 in 2024, representing approximately a 55% increase from 2019 levels. The dip in 2023 to $14.03 may reflect short-term operational challenges or increased expenses, but the rebound in 2024 indicates resumed profitability growth.
- Price to Operating Profit Ratio (P/OP)
- The P/OP ratio experienced notable fluctuations, indicating varying market valuations relative to operating profit. It increased from 18.63 in 2019 to a high of 28.35 in 2021, suggesting that the market valued the company's operating profit more highly during that period. This was followed by a sharp decline to 16.83 in 2022, reflecting a more conservative market assessment despite a rise in operating profit per share. The ratio then rose again to 21.69 in 2023 and further to 23.52 in 2024, indicating a partial restoration of investor confidence or improved market conditions.
- Overall Insights
- The data suggests that while operating profitability per share has increased steadily with minor fluctuations, the market valuation expressed through the share price and P/OP ratio has been more volatile. Notably, the share price and market valuation in 2021 were elevated relative to profit measures, possibly indicating heightened investor optimism or external factors influencing valuation. The dip in 2022 across share price and valuation ratios despite higher operating profit per share may reflect external market conditions or company-specific events impacting investor sentiment. The recovery seen in 2023 and 2024 in share price and P/OP ratio demonstrates renewed positive market perception aligned with improving profitability.
Price to Sales (P/S)
Accenture PLC, historical P/S calculation, comparison to benchmarks
| Aug 31, 2024 | Aug 31, 2023 | Aug 31, 2022 | Aug 31, 2021 | Aug 31, 2020 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 625,163,402 | 627,937,555 | 630,580,797 | 632,153,357 | 634,093,454 | 635,672,438 | |
| Selected Financial Data (US$) | |||||||
| Revenues (in thousands) | 64,896,464) | 64,111,745) | 61,594,305) | 50,533,389) | 44,327,039) | 43,215,013) | |
| Sales per share2 | 103.81 | 102.10 | 97.68 | 79.94 | 69.91 | 67.98 | |
| Share price1, 3 | 361.07 | 304.36 | 250.07 | 341.82 | 228.14 | 184.80 | |
| Valuation Ratio | |||||||
| P/S ratio4 | 3.48 | 2.98 | 2.56 | 4.28 | 3.26 | 2.72 | |
| Benchmarks | |||||||
| P/S Ratio, Competitors5 | |||||||
| Adobe Inc. | 8.27 | 13.88 | 8.95 | 14.94 | 17.04 | 15.11 | |
| Cadence Design Systems Inc. | 15.26 | 20.02 | 14.23 | 12.55 | 13.85 | — | |
| CrowdStrike Holdings Inc. | 26.10 | 12.81 | 30.15 | 48.70 | 22.79 | — | |
| Fair Isaac Corp. | 29.64 | 15.36 | 8.05 | 8.08 | 10.38 | 8.28 | |
| International Business Machines Corp. | 3.81 | 2.73 | 1.94 | 1.94 | 1.47 | — | |
| Intuit Inc. | 10.72 | 10.72 | 9.30 | 16.09 | 11.78 | 11.05 | |
| Microsoft Corp. | 12.82 | 11.60 | 10.40 | 12.81 | 10.85 | 8.38 | |
| Oracle Corp. | 7.44 | 6.63 | 4.25 | 5.38 | 4.33 | — | |
| Palantir Technologies Inc. | 102.00 | 23.27 | 9.34 | 15.58 | 39.86 | — | |
| Palo Alto Networks Inc. | 13.62 | 10.87 | 9.62 | 10.72 | 6.66 | 7.06 | |
| Salesforce Inc. | 8.45 | 5.84 | 7.40 | 9.24 | 8.88 | — | |
| ServiceNow Inc. | 18.99 | 17.52 | 12.75 | 19.02 | 25.66 | — | |
| Synopsys Inc. | 12.45 | 14.75 | 10.03 | 13.22 | 10.08 | 6.27 | |
| Workday Inc. | 9.61 | 7.71 | 11.19 | 13.95 | 10.65 | — | |
| P/S Ratio, Sector | |||||||
| Software & Services | 10.32 | 8.77 | 7.46 | 9.46 | 7.68 | — | |
| P/S Ratio, Industry | |||||||
| Information Technology | 9.31 | 7.33 | 6.01 | 6.96 | 6.11 | — | |
Based on: 10-K (reporting date: 2024-08-31), 10-K (reporting date: 2023-08-31), 10-K (reporting date: 2022-08-31), 10-K (reporting date: 2021-08-31), 10-K (reporting date: 2020-08-31), 10-K (reporting date: 2019-08-31).
1 Data adjusted for splits and stock dividends.
2 2024 Calculation
Sales per share = Revenues ÷ No. shares of common stock outstanding
= 64,896,464,000 ÷ 625,163,402 = 103.81
3 Closing price as at the filing date of Accenture PLC Annual Report.
4 2024 Calculation
P/S ratio = Share price ÷ Sales per share
= 361.07 ÷ 103.81 = 3.48
5 Click competitor name to see calculations.
- Share Price Trend
- The share price showed an overall increase over the six-year period. Starting at $184.8 in 2019, it rose to a peak of $341.82 in 2021, followed by a decline to $250.07 in 2022. Subsequently, it recovered and increased again to reach $361.07 by 2024. This indicates some volatility with a notable dip in 2022 before resuming an upward trajectory.
- Sales per Share Trend
- Sales per share demonstrated a consistent upward trend from 2019 to 2024. Beginning at $67.98 in 2019, it increased steadily each year to reach $103.81 in 2024. This reflects continuous growth in sales on a per-share basis throughout the period analyzed.
- Price-to-Sales (P/S) Ratio Trend
- The P/S ratio fluctuated over the period. It started at 2.72 in 2019 and peaked at 4.28 in 2021, corresponding with the peak share price. Then it dropped sharply to 2.56 in 2022, aligning with the share price decline. From 2022 onwards, the ratio increased again, reaching 3.48 by 2024. These movements suggest changing market valuation sentiment relative to sales, with a notable undervaluation in 2022 compared to previous years.
- Overall Analysis
- The data reveals steady growth in sales per share, indicating expanding company sales output on a per-share basis. The share price and P/S ratio trends show greater volatility, reflecting market fluctuations and changing investor perceptions. The dip in both share price and P/S ratio in 2022 suggests a period of market adjustment or external impact before recovery. By 2024, both market price metrics had risen to new highs, consistent with the ongoing growth in sales per share.
Price to Book Value (P/BV)
Accenture PLC, historical P/BV calculation, comparison to benchmarks
| Aug 31, 2024 | Aug 31, 2023 | Aug 31, 2022 | Aug 31, 2021 | Aug 31, 2020 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 625,163,402 | 627,937,555 | 630,580,797 | 632,153,357 | 634,093,454 | 635,672,438 | |
| Selected Financial Data (US$) | |||||||
| Total Accenture plc shareholders’ equity (in thousands) | 28,288,646) | 25,692,839) | 22,106,097) | 19,529,454) | 17,000,536) | 14,409,008) | |
| Book value per share (BVPS)2 | 45.25 | 40.92 | 35.06 | 30.89 | 26.81 | 22.67 | |
| Share price1, 3 | 361.07 | 304.36 | 250.07 | 341.82 | 228.14 | 184.80 | |
| Valuation Ratio | |||||||
| P/BV ratio4 | 7.98 | 7.44 | 7.13 | 11.06 | 8.51 | 8.15 | |
| Benchmarks | |||||||
| P/BV Ratio, Competitors5 | |||||||
| Adobe Inc. | 12.61 | 16.31 | 11.22 | 15.94 | 16.53 | 16.03 | |
| Cadence Design Systems Inc. | 15.15 | 24.05 | 18.46 | 13.68 | 14.90 | — | |
| CrowdStrike Holdings Inc. | 34.61 | 19.61 | 42.67 | 48.91 | 14.78 | — | |
| Fair Isaac Corp. | — | — | — | — | 40.58 | 33.14 | |
| International Business Machines Corp. | 8.75 | 7.49 | 5.34 | 5.90 | 5.24 | — | |
| Intuit Inc. | 9.47 | 8.92 | 7.20 | 15.71 | 17.71 | 20.00 | |
| Microsoft Corp. | 11.71 | 11.92 | 12.38 | 15.16 | 13.11 | 10.30 | |
| Oracle Corp. | 45.25 | 308.71 | — | 41.57 | 14.01 | — | |
| Palantir Technologies Inc. | 58.42 | 14.90 | 6.94 | 10.48 | 28.60 | — | |
| Palo Alto Networks Inc. | 21.15 | 42.84 | 252.00 | 71.88 | 20.61 | 12.91 | |
| Salesforce Inc. | 4.94 | 3.13 | 3.37 | 4.73 | 4.48 | — | |
| ServiceNow Inc. | 21.71 | 20.60 | 18.36 | 30.36 | 40.91 | — | |
| Synopsys Inc. | 8.48 | 14.02 | 9.24 | 10.50 | 7.57 | 5.16 | |
| Workday Inc. | 8.63 | 8.58 | 12.68 | 18.38 | 15.54 | — | |
| P/BV Ratio, Sector | |||||||
| Software & Services | 11.99 | 11.44 | 10.73 | 13.58 | 11.64 | — | |
| P/BV Ratio, Industry | |||||||
| Information Technology | 13.25 | 11.50 | 10.49 | 12.51 | 11.10 | — | |
Based on: 10-K (reporting date: 2024-08-31), 10-K (reporting date: 2023-08-31), 10-K (reporting date: 2022-08-31), 10-K (reporting date: 2021-08-31), 10-K (reporting date: 2020-08-31), 10-K (reporting date: 2019-08-31).
1 Data adjusted for splits and stock dividends.
2 2024 Calculation
BVPS = Total Accenture plc shareholders’ equity ÷ No. shares of common stock outstanding
= 28,288,646,000 ÷ 625,163,402 = 45.25
3 Closing price as at the filing date of Accenture PLC Annual Report.
4 2024 Calculation
P/BV ratio = Share price ÷ BVPS
= 361.07 ÷ 45.25 = 7.98
5 Click competitor name to see calculations.
- Share Price
- The share price exhibited an overall upward trajectory from 2019 to 2024, increasing from $184.8 to $361.07. Notably, the price surged substantially between 2020 and 2021, reaching a peak at $341.82, before declining to $250.07 in 2022. Following this dip, the share price rebounded steadily over the next two years, ending at the highest level in the period analyzed.
- Book Value per Share (BVPS)
- The book value per share increased consistently each year, rising from $22.67 in 2019 to $45.25 in 2024. This steady growth indicates sustained improvement in the company's net asset value on a per-share basis without any year-over-year decline.
- Price-to-Book Value Ratio (P/BV)
- The P/BV ratio showed considerable fluctuation during the reviewed period. It started at 8.15 in 2019, increased marginally in 2020, and peaked at 11.06 in 2021—coinciding with the peak in the share price. Subsequently, the ratio dropped sharply to 7.13 in 2022, reflecting both the share price decline and continued BVPS growth. The ratio then increased slightly in 2023 and 2024, reaching 7.98, indicating a partial recovery in market valuation relative to book value.
- Overall Insights
- The share price trend demonstrates a significant increase over the six years, with some volatility notably between 2021 and 2022. The continuous increase in book value per share suggests strengthening fundamentals. The P/BV ratio's fluctuations appear primarily driven by market price changes rather than changes in book value, highlighting investor sentiment shifting throughout the period. The partial recovery of the P/BV ratio in the final two years suggests renewed market confidence, albeit at a valuation lower than the 2021 peak.