Common Stock Valuation Ratios (Price Multiples)
Quarterly Data
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).
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- Analysis of Solvency Ratios
- DuPont Analysis: Disaggregation of ROE, ROA, and Net Profit Margin
- Analysis of Reportable Segments
- Capital Asset Pricing Model (CAPM)
- Operating Profit Margin since 2006
- Return on Assets (ROA) since 2006
- Total Asset Turnover since 2006
- Price to Earnings (P/E) since 2006
- Price to Operating Profit (P/OP) since 2006
- Price to Book Value (P/BV) since 2006
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Historical Valuation Ratios (Summary)
First Solar Inc., historical price multiples (quarterly data)
Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
- Price to Earnings (P/E) Ratio Analysis
- The Price to Earnings ratio shows significant volatility over the observed periods. Starting from a high of 107.84 in the first quarter of 2020, it declined consistently until reaching 15.73 by the first quarter of 2021. This suggests improved earnings relative to the stock price during this time. However, fluctuations occurred afterward, with a notable spike to 515.1 in an unspecified quarter, indicating possible earnings challenges or market revaluation. Following this peak, the ratio settled back to a range between approximately 17 and 32 in subsequent quarters, which may reflect a more stabilized earnings outlook or valuation adjustment.
- Price to Operating Profit (P/OP) Ratio Analysis
- Data for the Price to Operating Profit ratio begins in the third quarter of 2020 and reveals a broadly similar pattern to the P/E ratio. The ratio initially fell from 69.71 to 13.7 between late 2020 and mid-2021, reflecting improving operating profitability relative to price. Afterward, the ratio experienced spikes to very high levels (e.g., 441.71 and 293.92), indicating periods where market valuation outpaced operating profits or marked operational difficulties. More recent quarters show a return to levels around 16 to 37, suggesting some normalization in operating profit valuation.
- Price to Sales (P/S) Ratio Analysis
- The Price to Sales ratio exhibits a general upward trend from 1.53 at the start of 2020 to a peak of 7.66 in early 2023, revealing increasing investor valuation per unit of sales over time. This sustained increase implies growing investor confidence in sales growth or future prospects. After peaking, the ratio declined to around 4.67 to 6 in subsequent quarters, which may indicate a market correction or stabilization of sales expectations relative to stock price.
- Price to Book Value (P/BV) Ratio Analysis
- The Price to Book Value ratio also follows an upward trajectory overall, starting below 1 in early 2020, then climbing to above 3 by early 2023, reflecting enhanced market valuation relative to the company's net asset value. This increase suggests growing market optimism or improvement in intangible assets not fully reflected on the balance sheet. Nonetheless, slight declines occurred thereafter, with ratios settling between about 2.3 and 3.1, indicating possible rebalancing of market perceptions or asset revaluations.
- Overall Insights
- The financial ratios reflect periods of strong market optimism interspersed with volatility, particularly notable in earnings-based multiples. Increasing Price to Sales and Price to Book ratios suggest investor confidence in growth and underlying asset value, while the fluctuations in earnings and operating profit multiples point to varying profitability or market sensitivity to earnings reports. Recent trends toward ratio stabilization may indicate a maturing market view and more predictable financial performance.
Price to Earnings (P/E)
First Solar Inc., historical P/E calculation (quarterly data)
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | |||||||||||||||||||||||||
| Selected Financial Data (US$) | |||||||||||||||||||||||||
| Net income (loss) (in thousands) | |||||||||||||||||||||||||
| Earnings per share (EPS)2 | |||||||||||||||||||||||||
| Share price1, 3 | |||||||||||||||||||||||||
| Valuation Ratio | |||||||||||||||||||||||||
| P/E ratio4 | |||||||||||||||||||||||||
| Benchmarks | |||||||||||||||||||||||||
| P/E Ratio, Competitors5 | |||||||||||||||||||||||||
| Advanced Micro Devices Inc. | |||||||||||||||||||||||||
| Analog Devices Inc. | |||||||||||||||||||||||||
| Applied Materials Inc. | |||||||||||||||||||||||||
| Broadcom Inc. | |||||||||||||||||||||||||
| Intel Corp. | |||||||||||||||||||||||||
| KLA Corp. | |||||||||||||||||||||||||
| Lam Research Corp. | |||||||||||||||||||||||||
| Micron Technology Inc. | |||||||||||||||||||||||||
| NVIDIA Corp. | |||||||||||||||||||||||||
| Qualcomm Inc. | |||||||||||||||||||||||||
| Texas Instruments Inc. | |||||||||||||||||||||||||
Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
1 Data adjusted for splits and stock dividends.
2 Q3 2024 Calculation
EPS
= (Net income (loss)Q3 2024
+ Net income (loss)Q2 2024
+ Net income (loss)Q1 2024
+ Net income (loss)Q4 2023)
÷ No. shares of common stock outstanding
= ( + + + )
÷ =
3 Closing price as at the filing date of First Solar Inc. Quarterly or Annual Report.
4 Q3 2024 Calculation
P/E ratio = Share price ÷ EPS
= ÷ =
5 Click competitor name to see calculations.
- Share Price Trend
- The share price exhibited notable volatility over the reported periods. Starting at $44.16, it rose sharply to a peak of $93.31 by the third quarter of 2020, then experienced fluctuations with a decline to $75.62 at the end of 2021. Subsequently, the price maintained an upward trajectory, reaching a high of $210.89 in the second quarter of 2024 before a slight decrease to $199.67 in the third quarter of 2024. Overall, the share price more than quadrupled from the beginning to the end of the observed timeline.
- Earnings Per Share (EPS) Trends
- EPS showed an overall upward growth trend with some interim variability. The EPS rose from $0.41 in the first quarter of 2020 to a peak of $5.29 in the second quarter of 2021. However, starting late 2021 and through 2022, the EPS experienced a decline, even turning negative at -$0.41 by the fourth quarter of 2022. This downtrend was followed by a strong recovery and growth in 2023 and into 2024, culminating at $11.66 per share by the third quarter of 2024, representing significant earnings improvement compared to earlier periods.
- Price-to-Earnings (P/E) Ratio Dynamics
- The P/E ratio demonstrated considerable fluctuation that corresponded with movements in both share price and EPS. Initially, the P/E ratio was high at 107.84, declining steadily as EPS increased more rapidly than share price, reaching a low near 15.73 in the first quarter of 2021. Thereafter, it exhibited sharp volatility, including an extremely high peak around 515.1 during early 2023, indicative of depressed or negative EPS values influencing the ratio. Following this aberration, the P/E stabilized around values in the high teens, approximately 17-19 by mid-2024, suggesting a normalization relative to earnings and market valuation.
- General Observations
- The data show the stock and earnings performance experienced phases of rapid growth, correction, and recovery. The share price and EPS trends are not always tightly coupled, as evidenced by the periods where EPS declined or turned negative while share price remained elevated or even increased, contributing to extreme P/E valuations. The recent quarters demonstrate strengthening fundamentals with rising EPS accompanied by a moderately high but stable P/E ratio, potentially indicating investor confidence in sustained growth.
Price to Operating Profit (P/OP)
First Solar Inc., historical P/OP calculation (quarterly data)
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | |||||||||||||||||||||||||
| Selected Financial Data (US$) | |||||||||||||||||||||||||
| Operating income (loss) (in thousands) | |||||||||||||||||||||||||
| Operating profit per share2 | |||||||||||||||||||||||||
| Share price1, 3 | |||||||||||||||||||||||||
| Valuation Ratio | |||||||||||||||||||||||||
| P/OP ratio4 | |||||||||||||||||||||||||
| Benchmarks | |||||||||||||||||||||||||
| P/OP Ratio, Competitors5 | |||||||||||||||||||||||||
| Advanced Micro Devices Inc. | |||||||||||||||||||||||||
| Analog Devices Inc. | |||||||||||||||||||||||||
| Applied Materials Inc. | |||||||||||||||||||||||||
| Broadcom Inc. | |||||||||||||||||||||||||
| Intel Corp. | |||||||||||||||||||||||||
| KLA Corp. | |||||||||||||||||||||||||
| Lam Research Corp. | |||||||||||||||||||||||||
| Micron Technology Inc. | |||||||||||||||||||||||||
| NVIDIA Corp. | |||||||||||||||||||||||||
| Qualcomm Inc. | |||||||||||||||||||||||||
| Texas Instruments Inc. | |||||||||||||||||||||||||
Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
1 Data adjusted for splits and stock dividends.
2 Q3 2024 Calculation
Operating profit per share
= (Operating income (loss)Q3 2024
+ Operating income (loss)Q2 2024
+ Operating income (loss)Q1 2024
+ Operating income (loss)Q4 2023)
÷ No. shares of common stock outstanding
= ( + + + )
÷ =
3 Closing price as at the filing date of First Solar Inc. Quarterly or Annual Report.
4 Q3 2024 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= ÷ =
5 Click competitor name to see calculations.
- Share Price Trend
- The share price exhibited considerable volatility over the observed periods. Starting at $44.16 in March 2020, it increased substantially reaching a peak near $116.31 by September 2021. Following this, the price fluctuated, with a notable decline to around $73.03 in March 2022, then experienced a strong upward trend rising to $200.83 by March 2023. After a brief dip during mid-2023, the price rebounded and peaked again at approximately $210.89 in June 2024, before a slight decline to near $199.67 by September 2024.
- Operating Profit Per Share (OPPS) Trend
- Operating profit per share showed a marked improvement from negative to positive figures over the timeline. Beginning at a loss of $-0.79 in March 2020, it gradually turned positive by the third quarter of 2020 and generally increased through 2021 and early 2022. Despite a sharp dip into negative territory in December 2022, the OPPS quickly recovered, climbing steadily from 2023 onwards. By September 2024, the value reached its highest point at approximately $12.47, demonstrating strong operational profitability growth.
- Price to Operating Profit (P/OP) Ratio Analysis
- The P/OP ratio displayed significant fluctuations, reflecting varying market valuations relative to operating profits. After missing data in early periods, the ratio moved from very high values, such as 69.71 in September 2020 and 73.73 in December 2022, indicating an expensive market valuation relative to operating profit. This was followed by an extreme spike to 441.71 in June 2023, which may relate to unusually low or negative operating profits during that time. Subsequently, the ratio normalized somewhat, declining towards values between 16.01 and 36.80 in the later quarters, suggesting improved alignment between share price and operating profitability.
- Summary of Financial Performance Trends
- The data indicates that the company has moved from a period of operational losses to sustained profitability across the last four years. The share price trends largely correlate with improvements in operating profit per share, though some discrepancies are visible in the P/OP ratio, suggesting market valuation volatility or episodic operational challenges. The spike in valuation multiples in mid to late 2023 raises potential concerns about temporary dislocations in profitability or market sentiment. Overall, the financial performance shows a positive long-term trend with increasing operational efficiency and shareholder value.
Price to Sales (P/S)
First Solar Inc., historical P/S calculation (quarterly data)
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | |||||||||||||||||||||||||
| Selected Financial Data (US$) | |||||||||||||||||||||||||
| Net sales (in thousands) | |||||||||||||||||||||||||
| Sales per share2 | |||||||||||||||||||||||||
| Share price1, 3 | |||||||||||||||||||||||||
| Valuation Ratio | |||||||||||||||||||||||||
| P/S ratio4 | |||||||||||||||||||||||||
| Benchmarks | |||||||||||||||||||||||||
| P/S Ratio, Competitors5 | |||||||||||||||||||||||||
| Advanced Micro Devices Inc. | |||||||||||||||||||||||||
| Analog Devices Inc. | |||||||||||||||||||||||||
| Applied Materials Inc. | |||||||||||||||||||||||||
| Broadcom Inc. | |||||||||||||||||||||||||
| Intel Corp. | |||||||||||||||||||||||||
| KLA Corp. | |||||||||||||||||||||||||
| Lam Research Corp. | |||||||||||||||||||||||||
| Micron Technology Inc. | |||||||||||||||||||||||||
| NVIDIA Corp. | |||||||||||||||||||||||||
| Qualcomm Inc. | |||||||||||||||||||||||||
| Texas Instruments Inc. | |||||||||||||||||||||||||
Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
1 Data adjusted for splits and stock dividends.
2 Q3 2024 Calculation
Sales per share
= (Net salesQ3 2024
+ Net salesQ2 2024
+ Net salesQ1 2024
+ Net salesQ4 2023)
÷ No. shares of common stock outstanding
= ( + + + )
÷ =
3 Closing price as at the filing date of First Solar Inc. Quarterly or Annual Report.
4 Q3 2024 Calculation
P/S ratio = Share price ÷ Sales per share
= ÷ =
5 Click competitor name to see calculations.
The analysis of the financial data reveals several key trends related to the share price, sales per share, and price-to-sales (P/S) ratio over the observed periods.
- Share Price
- The share price exhibited significant volatility throughout the timeline. Initially, from March 2020 to September 2020, there was a strong upward trajectory, rising from $44.16 to $93.31. This peak was followed by a moderate decline and fluctuations through late 2021, with prices dropping to around $75.62 in December 2021. From early 2022 onwards, the share price resumed a general upward trend, reaching its highest levels near $210.89 in June 2024 before a slight decrease to $199.67 by September 2024. Overall, the pattern suggests strong growth potential with intermittent periods of correction and consolidation.
- Sales Per Share
- Sales per share remained relatively stable in the early periods, fluctuating mildly around the high twenties. A slight dip is observed around late 2020 and early 2021, with values decreasing to the low twenties in early 2022. However, a consistent upward trend follows, growing from $23.33 in March 2022 to $35.97 by September 2024. This steady increase in sales per share over the more recent periods indicates improving operational performance and revenue generation capacity on a per-share basis.
- Price-to-Sales (P/S) Ratio
- The P/S ratio shows notable variation, reflecting the interplay between share price and sales per share. Early in the timeline, from March 2020 to December 2020, the ratio increased substantially from 1.53 to 3.17, suggesting that the market valuation of the company grew faster than its sales. This ratio continued to fluctuate sharply through 2021, peaking at 4.71 in September 2021 before dropping to 2.75 by December 2021. During 2022 and 2023, the P/S ratio climbed significantly, reaching a high of 7.66 in March 2023, then declining moderately to around 4.67 and fluctuating near this level into mid-2024. Such elevated ratios indicate a market premium for the company's sales, possibly due to growth expectations, though the recent moderate decreases might reflect recalibrations of investor sentiment or valuation adjustments.
In summary, the data portrays a company experiencing overall growth in share price and sales per share, accompanied by fluctuations in market valuation multiples. The strong upward movement in sales per share suggests improving fundamentals, while the P/S ratio dynamics reflect changing investor perceptions and market conditions. The share price volatility highlights periods of market uncertainty but also sustained investor confidence over the long term.
Price to Book Value (P/BV)
First Solar Inc., historical P/BV calculation (quarterly data)
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | |||||||||||||||||||||||||
| Selected Financial Data (US$) | |||||||||||||||||||||||||
| Stockholders’ equity (in thousands) | |||||||||||||||||||||||||
| Book value per share (BVPS)2 | |||||||||||||||||||||||||
| Share price1, 3 | |||||||||||||||||||||||||
| Valuation Ratio | |||||||||||||||||||||||||
| P/BV ratio4 | |||||||||||||||||||||||||
| Benchmarks | |||||||||||||||||||||||||
| P/BV Ratio, Competitors5 | |||||||||||||||||||||||||
| Advanced Micro Devices Inc. | |||||||||||||||||||||||||
| Analog Devices Inc. | |||||||||||||||||||||||||
| Applied Materials Inc. | |||||||||||||||||||||||||
| Broadcom Inc. | |||||||||||||||||||||||||
| Intel Corp. | |||||||||||||||||||||||||
| KLA Corp. | |||||||||||||||||||||||||
| Lam Research Corp. | |||||||||||||||||||||||||
| Micron Technology Inc. | |||||||||||||||||||||||||
| NVIDIA Corp. | |||||||||||||||||||||||||
| Qualcomm Inc. | |||||||||||||||||||||||||
| Texas Instruments Inc. | |||||||||||||||||||||||||
Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
1 Data adjusted for splits and stock dividends.
2 Q3 2024 Calculation
BVPS = Stockholders’ equity ÷ No. shares of common stock outstanding
= ÷ =
3 Closing price as at the filing date of First Solar Inc. Quarterly or Annual Report.
4 Q3 2024 Calculation
P/BV ratio = Share price ÷ BVPS
= ÷ =
5 Click competitor name to see calculations.
The analysis of the quarterly financial data indicates several evolving trends in the share price, book value per share (BVPS), and the price-to-book value (P/BV) ratio over the examined period.
- Share Price
- The share price exhibits considerable volatility with an overall upward trajectory from March 2020 to September 2024. Initially valued at $44.16, it rose significantly to peaks such as $116.31 in September 2021 and $200.83 in March 2023. There are episodes of temporary declines, for example, a drop to $75.62 in December 2021 and to $142.45 in September 2023, before recovering again. The latest values suggest a maintained strong performance close to $200, reflecting sustained investor confidence or positive market sentiment during recent quarters.
- Book Value Per Share (BVPS)
- BVPS increases steadily across the entire timeframe, starting at $48.80 and growing consistently to $70.93 by September 2024. This gradual rise indicates continuous growth in the company’s net tangible assets, representing a stable improvement in the company’s fundamental value per share. The growth in BVPS is smooth without major fluctuations, suggesting robust asset management and accumulation.
- Price-to-Book Value Ratio (P/BV)
- The P/BV ratio demonstrates significant fluctuations reflecting changes in market valuation relative to book value. Initially below 1 (0.9), it quickly rose above 1 indicating the market valued the company at a premium to its book value. Notably, peaks such as 3.66 in March 2023 correspond with high share price periods, signaling periods of heightened market optimism or expectations of future growth. The ratio declines intermittently, for example, to 1.35 in December 2021 and 2.32 in December 2023, before climbing again. Overall, the P/BV remains above 1, underlining a persistent premium pricing by investors over the book value.
In summary, the company’s share price and market valuation relative to book value have shown strong appreciation with cyclical fluctuations. Meanwhile, the fundamental book value per share has demonstrated steady growth. The divergence in the volatility of share price and smoother increase in BVPS suggests that investor sentiment and market conditions strongly influence the fluctuation in market multiples, while the company’s intrinsic asset base grows consistently.