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ps

The ps score is a measure of how fairly, overvaluated od undervaluated a company is in relation to its quoted stock price in secondary markets.

How to use the score

The following table can serve as a reference for the use of this score:

Score value range Interpretation
from 0 to 5 Overvaluation: price in relation to its free cash flow
from 5 to 7 Fair price: price proportional to its free cash flow
from 7 to 10 Undervaluation: low company price in relation to its free cash flow

Calculation

The score value is based on the relation between the company's free cash flow to equity and its market capitalization factor (see the overview of the price/free cash flow score).