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).
Historical Valuation Ratios (Summary)
Becton, Dickinson & Co., historical price multiples (quarterly data)
Based on: 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-K (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-K (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-K (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-K (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-K (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-Q (reporting date: 2016-12-31).
- Price to Earnings (P/E) Ratio
- The P/E ratio exhibits significant volatility throughout the period, with some pronounced peaks and troughs. Initially, the ratio increases moderately from approximately 29 at the end of 2016 to over 59 mid-2017. A striking surge occurs in late 2017, reaching a high point over 400, followed by a sharp decline to the mid-70s by the end of 2018. From 2019 onwards, the ratio generally trends downward with fluctuations, falling from 90 at the end of 2019 to the mid-30s by late 2021. The overall trend from 2019 to early 2022 suggests a decreasing valuation relative to earnings, indicating either improving earnings or reducing market price per share relative to earnings.
- Price to Operating Profit (P/OP) Ratio
- This ratio reflects considerable fluctuations, similar to the P/E trends but less extreme. Starting near 20 at the end of 2016, it doubles to over 40 mid-2017, then peaks at almost 96 by early 2018. Subsequently, the ratio declines broadly with intermittent increases, moving from a high near 50 in late 2019 to lower values near 25 by late 2021. By early 2022, the ratio settles just below 30. The decreasing trend after early 2018 suggests rising operating profits or a market price adjustment relative to operating profits, indicating improved operational efficiency or better profitability metrics taken by investors.
- Price to Sales (P/S) Ratio
- The P/S ratio shows a more stable and less volatile pattern compared to other valuation metrics. It gradually rises from about 3.05 to peak near 4.94 at the end of 2017, then experiences minor oscillations, predominantly staying between approximately 3.5 and 4.5 through to early 2022. The steady nature of this ratio reflects consistent valuation relative to sales revenue, suggesting that revenue growth and market capitalization changes remained fairly aligned over the analyzed period without sharp deviations.
- Price to Book Value (P/BV) Ratio
- This ratio declines in the early periods from near 5 at the end of 2016 to below 3 at the end of 2017, then stabilizes in the range of 2.8 to 3.3 through to early 2022. Minor fluctuations appear but no strong upward or downward trends manifest after the initial decrease. This pattern indicates the market valuation relative to the company's net book value normalized at a lower level than the starting point, possibly reflecting changes in asset valuation, equity adjustments, or shifts in investor perception of the company's net asset value.
Price to Earnings (P/E)
Becton, Dickinson & Co., historical P/E calculation (quarterly data)
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 285,064,629 | 284,771,077 | 284,023,582 | 287,190,180 | 290,818,504 | 290,559,991 | 290,031,363 | 289,868,551 | 271,776,378 | 271,173,148 | 270,459,892 | 269,954,141 | 269,731,903 | 269,063,379 | 268,257,940 | 267,563,574 | 267,201,840 | 266,242,472 | 227,978,328 | 227,564,969 | 213,305,385 | 212,825,085 | |||||||
| Selected Financial Data (US$) | |||||||||||||||||||||||||||||
| Net income (loss) applicable to common shareholders (in millions) | 431) | 655) | 242) | 502) | 277) | 981) | 105) | 277) | 145) | 240) | 125) | 413) | (18) | 562) | (173) | 556) | (50) | (174) | 289) | (165) | 344) | 562) | |||||||
| Earnings per share (EPS)2 | 6.42 | 5.89 | 7.05 | 6.49 | 5.64 | 5.19 | 2.64 | 2.72 | 3.40 | 2.80 | 4.00 | 2.90 | 3.44 | 3.33 | 0.59 | 2.32 | -0.37 | 1.10 | 4.52 | 3.34 | 6.16 | 6.15 | |||||||
| Share price1, 3 | 259.64 | 270.58 | 244.46 | 243.08 | 240.81 | 254.89 | 227.47 | 259.61 | 256.25 | 252.25 | 260.40 | 242.14 | 229.80 | 242.41 | 242.04 | 245.10 | 227.13 | 227.52 | 224.23 | 198.90 | 185.28 | 177.97 | |||||||
| Valuation Ratio | |||||||||||||||||||||||||||||
| P/E ratio4 | 40.44 | 45.97 | 34.68 | 37.43 | 42.70 | 49.11 | 86.01 | 95.62 | 75.45 | 90.00 | 65.09 | 83.38 | 66.87 | 72.88 | 408.36 | 105.60 | — | 206.04 | 49.63 | 59.56 | 30.05 | 28.94 | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| P/E Ratio, Competitors5 | |||||||||||||||||||||||||||||
| Abbott Laboratories | 22.24 | 25.48 | 29.13 | 31.42 | 33.80 | 36.79 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Elevance Health Inc. | 18.07 | 20.46 | 18.13 | 18.65 | 22.10 | 19.99 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Intuitive Surgical Inc. | 52.74 | 55.10 | 59.94 | 71.86 | 69.15 | 89.95 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Medtronic PLC | 30.66 | 46.71 | 46.56 | 55.13 | 42.80 | 32.34 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| UnitedHealth Group Inc. | 27.70 | 27.29 | 26.03 | 27.92 | 27.41 | 23.06 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-K (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-K (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-K (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-K (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-K (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-Q (reporting date: 2016-12-31).
1 Data adjusted for splits and stock dividends.
2 Q2 2022 Calculation
EPS
= (Net income (loss) applicable to common shareholdersQ2 2022
+ Net income (loss) applicable to common shareholdersQ1 2022
+ Net income (loss) applicable to common shareholdersQ4 2021
+ Net income (loss) applicable to common shareholdersQ3 2021)
÷ No. shares of common stock outstanding
= (431,000,000 + 655,000,000 + 242,000,000 + 502,000,000)
÷ 285,064,629 = 6.42
3 Closing price as at the filing date of Becton, Dickinson & Co. Quarterly or Annual Report.
4 Q2 2022 Calculation
P/E ratio = Share price ÷ EPS
= 259.64 ÷ 6.42 = 40.44
5 Click competitor name to see calculations.
- Share Price Trend
- The share price demonstrated an overall upward trend from December 2016 through March 2022, starting at $177.97 and reaching a peak of $270.58 in December 2021. There were periods of fluctuation, including a notable dip around September 2020 when the price dropped to $227.47, but the price recovered subsequently. The trend indicates moderate growth with some volatility consistent with market conditions over the period analyzed.
- Earnings Per Share (EPS) Trend
- EPS exhibited significant volatility over the observed periods. Initially beginning at $6.15 in December 2016, EPS dropped sharply in the first quarter of 2018 to a negative value (-$0.37), signaling a loss in that period. Subsequently, EPS recovered gradually with fluctuations, peaking at $7.05 in September 2021 before slightly declining to $6.42 in March 2022. This pattern indicates variable profitability, with occasional challenges offset by recovery periods.
- Price-to-Earnings (P/E) Ratio Analysis
- The P/E ratio experienced high variability. Starting at 28.94 in December 2016, the ratio spiked dramatically to 206.04 by December 2017. This was accompanied by periods of missing data and extremely high ratios, such as 408.36 in September 2018, indicating market valuation was highly sensitive to EPS fluctuations. Generally, the ratio trended downward from the late 2018 peak to values around 40 in early 2022, suggesting more normalized valuation levels relative to earnings in recent periods.
- Interrelationship Among Metrics
- The data suggests that the share price was somewhat resilient despite pronounced swings in EPS and the P/E ratio. Sharp EPS declines corresponded with spikes in the P/E ratio due to lower earnings in the denominator, while share price movements were more moderate. This could indicate investor confidence or other factors supporting share price beyond immediate earnings results. The later stabilization of P/E ratios alongside EPS recovery signs a balance restoring between earnings performance and market valuation.
- Overall Insights
- The financial profile reflects episodic earnings challenges alongside sustained share price growth. The high and volatile P/E ratios suggest episodes of overvaluation relative to earnings, particularly in 2017-2018. Recovery in EPS and tempered P/E ratios in recent quarters point towards improving financial performance with alignment to market expectations. Continued monitoring of EPS stability and valuation normalization will be crucial for future analysis.
Price to Operating Profit (P/OP)
Becton, Dickinson & Co., historical P/OP calculation (quarterly data)
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 285,064,629 | 284,771,077 | 284,023,582 | 287,190,180 | 290,818,504 | 290,559,991 | 290,031,363 | 289,868,551 | 271,776,378 | 271,173,148 | 270,459,892 | 269,954,141 | 269,731,903 | 269,063,379 | 268,257,940 | 267,563,574 | 267,201,840 | 266,242,472 | 227,978,328 | 227,564,969 | 213,305,385 | 212,825,085 | |||||||
| Selected Financial Data (US$) | |||||||||||||||||||||||||||||
| Operating income (loss) (in millions) | 652) | 815) | 496) | 628) | 434) | 1,241) | 255) | 358) | 370) | 501) | 110) | 626) | 136) | 888) | 571) | 513) | 183) | 230) | 444) | (223) | 446) | 811) | |||||||
| Operating profit per share2 | 9.09 | 8.33 | 9.85 | 8.91 | 7.87 | 7.65 | 5.12 | 4.62 | 5.91 | 5.06 | 6.51 | 8.23 | 7.82 | 8.01 | 5.58 | 5.12 | 2.37 | 3.37 | 6.48 | 4.97 | 8.76 | 8.88 | |||||||
| Share price1, 3 | 259.64 | 270.58 | 244.46 | 243.08 | 240.81 | 254.89 | 227.47 | 259.61 | 256.25 | 252.25 | 260.40 | 242.14 | 229.80 | 242.41 | 242.04 | 245.10 | 227.13 | 227.52 | 224.23 | 198.90 | 185.28 | 177.97 | |||||||
| Valuation Ratio | |||||||||||||||||||||||||||||
| P/OP ratio4 | 28.57 | 32.47 | 24.81 | 27.29 | 30.61 | 33.30 | 44.46 | 56.20 | 43.34 | 49.82 | 40.02 | 29.43 | 29.40 | 30.27 | 43.37 | 47.87 | 95.72 | 67.53 | 34.59 | 40.06 | 21.15 | 20.05 | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| P/OP Ratio, Competitors5 | |||||||||||||||||||||||||||||
| Abbott Laboratories | 18.63 | 21.33 | 24.45 | 26.84 | 29.01 | 31.39 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Elevance Health Inc. | 14.72 | 17.53 | 15.70 | 15.81 | 19.93 | 15.79 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Intuitive Surgical Inc. | 44.54 | 49.98 | 56.11 | 67.95 | 69.51 | 89.18 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Medtronic PLC | 27.20 | 38.83 | 37.44 | 49.88 | 42.55 | 35.86 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| UnitedHealth Group Inc. | 19.96 | 19.69 | 18.77 | 19.63 | 19.05 | 16.12 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-K (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-K (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-K (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-K (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-K (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-Q (reporting date: 2016-12-31).
1 Data adjusted for splits and stock dividends.
2 Q2 2022 Calculation
Operating profit per share
= (Operating income (loss)Q2 2022
+ Operating income (loss)Q1 2022
+ Operating income (loss)Q4 2021
+ Operating income (loss)Q3 2021)
÷ No. shares of common stock outstanding
= (652,000,000 + 815,000,000 + 496,000,000 + 628,000,000)
÷ 285,064,629 = 9.09
3 Closing price as at the filing date of Becton, Dickinson & Co. Quarterly or Annual Report.
4 Q2 2022 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 259.64 ÷ 9.09 = 28.57
5 Click competitor name to see calculations.
- Share Price Trend
- The share price exhibited an overall upward trend across the observed periods, starting at $177.97 and reaching a peak near $270.58 in late 2021. However, fluctuations were evident, especially during 2019 and 2020, when the price experienced moderate volatility with a notable dip in the third quarter of 2020. Despite this, the later quarters restored the upward momentum, maintaining price levels generally above $240 from early 2019 onwards.
- Operating Profit Per Share (OPPS) Trend
- The operating profit per share showed considerable variability over the quarters. It began relatively strong at $8.88, then declined sharply during 2017 to lows near $2.37, followed by a recovery trend throughout 2018 and 2019, reaching peaks again above $8. The values dipped moderately in 2020, possibly reflecting broader economic disruptions, but then exhibited renewed improvement in 2021, culminating at $9.09 by the end of the dataset. This indicates fluctuating but generally resilient operational profitability on a per-share basis.
- Price to Operating Profit Ratio (P/OP)
- The P/OP ratio showed significant volatility and high spikes in 2017 and early 2018, with values reaching as high as 95.72, reflective of a depressed operating profit relative to the share price during these periods. Post-2018, the ratio gradually declined, stabilizing around the 25 to 40 range from 2019 to 2022. This decline suggests a correction towards valuation levels more consistent with the underlying operating earnings, aligning with the recovery observed in OPPS.
- Overall Insights
- The data reflects a period of initial stress in operating profitability around 2017, mirrored by elevated P/OP ratios suggesting market valuation compression or operational challenges. Following this, both operating profit per share and share price demonstrated recovery and relative stability. The gradual normalization of the P/OP ratio alongside improving OPPS points to a strengthening operational performance contributing to sustained investor confidence. Market price fluctuations appear to be moderately responsive to changes in operating profitability, with valuation multiples adjusting accordingly over time.
Price to Sales (P/S)
Becton, Dickinson & Co., historical P/S calculation (quarterly data)
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 285,064,629 | 284,771,077 | 284,023,582 | 287,190,180 | 290,818,504 | 290,559,991 | 290,031,363 | 289,868,551 | 271,776,378 | 271,173,148 | 270,459,892 | 269,954,141 | 269,731,903 | 269,063,379 | 268,257,940 | 267,563,574 | 267,201,840 | 266,242,472 | 227,978,328 | 227,564,969 | 213,305,385 | 212,825,085 | |||||||
| Selected Financial Data (US$) | |||||||||||||||||||||||||||||
| Revenues (in millions) | 5,011) | 4,995) | 5,136) | 4,890) | 4,907) | 5,315) | 4,784) | 3,855) | 4,253) | 4,225) | 4,585) | 4,350) | 4,195) | 4,160) | 4,403) | 4,278) | 4,222) | 3,080) | 3,167) | 3,035) | 2,969) | 2,922) | |||||||
| Sales per share2 | 70.27 | 69.98 | 71.29 | 69.28 | 64.85 | 62.66 | 59.02 | 58.36 | 64.07 | 64.00 | 63.93 | 63.37 | 63.16 | 63.42 | 59.58 | 55.12 | 50.54 | 46.01 | 53.04 | 53.43 | 57.76 | 58.35 | |||||||
| Share price1, 3 | 259.64 | 270.58 | 244.46 | 243.08 | 240.81 | 254.89 | 227.47 | 259.61 | 256.25 | 252.25 | 260.40 | 242.14 | 229.80 | 242.41 | 242.04 | 245.10 | 227.13 | 227.52 | 224.23 | 198.90 | 185.28 | 177.97 | |||||||
| Valuation Ratio | |||||||||||||||||||||||||||||
| P/S ratio4 | 3.69 | 3.87 | 3.43 | 3.51 | 3.71 | 4.07 | 3.85 | 4.45 | 4.00 | 3.94 | 4.07 | 3.82 | 3.64 | 3.82 | 4.06 | 4.45 | 4.49 | 4.94 | 4.23 | 3.72 | 3.21 | 3.05 | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| P/S Ratio, Competitors5 | |||||||||||||||||||||||||||||
| Abbott Laboratories | 4.18 | 4.42 | 4.78 | 5.38 | 5.36 | 5.64 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Elevance Health Inc. | 0.75 | 0.89 | 0.81 | 0.78 | 0.73 | 0.76 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Intuitive Surgical Inc. | 12.69 | 15.34 | 17.89 | 22.12 | 21.73 | 23.19 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Medtronic PLC | 4.54 | 5.74 | 5.57 | 5.71 | 5.43 | 5.11 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| UnitedHealth Group Inc. | 1.66 | 1.61 | 1.58 | 1.55 | 1.47 | 1.49 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-K (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-K (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-K (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-K (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-K (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-Q (reporting date: 2016-12-31).
1 Data adjusted for splits and stock dividends.
2 Q2 2022 Calculation
Sales per share
= (RevenuesQ2 2022
+ RevenuesQ1 2022
+ RevenuesQ4 2021
+ RevenuesQ3 2021)
÷ No. shares of common stock outstanding
= (5,011,000,000 + 4,995,000,000 + 5,136,000,000 + 4,890,000,000)
÷ 285,064,629 = 70.27
3 Closing price as at the filing date of Becton, Dickinson & Co. Quarterly or Annual Report.
4 Q2 2022 Calculation
P/S ratio = Share price ÷ Sales per share
= 259.64 ÷ 70.27 = 3.69
5 Click competitor name to see calculations.
- Share Price Trend
- The share price exhibited an overall upward trajectory from December 2016 through December 2021, increasing from $177.97 to a peak of $270.58 in December 2021. Notable fluctuations occurred within this period, including a peak around September 2017 at $224.23, a decline to $229.80 at March 2019, and subsequent oscillations between $227.47 and $260.40 until the end of 2019. A decline was observed in mid-2020, with the share price dropping to $227.47 in September 2020, followed by a gradual recovery towards the end of 2021.
- Sales Per Share Dynamics
- Sales per share demonstrated more variability over the examined time frame. Initially, there was a decline from $58.35 in December 2016 to a low of $46.01 in December 2017. Following this dip, sales per share recovered steadily, reaching $64.00 by December 2019. Post-2019, values fluctuated moderately between $58.36 and $71.29, with a general trend toward increase, peaking at $71.29 in September 2021 before slightly decreasing to $70.27 in March 2022.
- Price-to-Sales (P/S) Ratio Analysis
- The P/S ratio started at 3.05 in December 2016, followed by a steady increase reaching 4.94 by December 2017, indicating that the share price was rising relative to sales per share during this period. This ratio then experienced a decline, settling around 3.82 to 4.07 between March 2019 and September 2019. Thereafter, the P/S ratio fluctuated but generally remained between 3.43 and 4.45 through to the end of the observed period, suggesting relative stability in valuation metrics compared to sales performance despite share price volatility.
- Interpretation of Financial Trends
- The data reflects a company whose share price trends upward over the long term, albeit with periods of volatility likely influenced by external market conditions or company-specific events. Sales per share declined in the initial period but showed recovery and growth over subsequent years, indicating improving sales performance. The P/S ratio suggests that the market's valuation relative to sales per share increased notably in 2017, potentially reflecting investor optimism, before stabilizing in the following years. The divergence between share price and sales per share at times points to fluctuations in investor sentiment or expectations beyond fundamental sales results.
Price to Book Value (P/BV)
Becton, Dickinson & Co., historical P/BV calculation (quarterly data)
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 285,064,629 | 284,771,077 | 284,023,582 | 287,190,180 | 290,818,504 | 290,559,991 | 290,031,363 | 289,868,551 | 271,776,378 | 271,173,148 | 270,459,892 | 269,954,141 | 269,731,903 | 269,063,379 | 268,257,940 | 267,563,574 | 267,201,840 | 266,242,472 | 227,978,328 | 227,564,969 | 213,305,385 | 212,825,085 | |||||||
| Selected Financial Data (US$) | |||||||||||||||||||||||||||||
| Shareholders’ equity (in millions) | 24,525) | 24,160) | 23,677) | 24,135) | 24,826) | 24,663) | 23,765) | 24,022) | 20,951) | 21,202) | 21,081) | 21,497) | 21,310) | 21,403) | 20,994) | 21,358) | 21,152) | 21,247) | 12,948) | 12,587) | 7,963) | 7,583) | |||||||
| Book value per share (BVPS)2 | 86.03 | 84.84 | 83.36 | 84.04 | 85.37 | 84.88 | 81.94 | 82.87 | 77.09 | 78.19 | 77.95 | 79.63 | 79.00 | 79.55 | 78.26 | 79.82 | 79.16 | 79.80 | 56.79 | 55.31 | 37.33 | 35.63 | |||||||
| Share price1, 3 | 259.64 | 270.58 | 244.46 | 243.08 | 240.81 | 254.89 | 227.47 | 259.61 | 256.25 | 252.25 | 260.40 | 242.14 | 229.80 | 242.41 | 242.04 | 245.10 | 227.13 | 227.52 | 224.23 | 198.90 | 185.28 | 177.97 | |||||||
| Valuation Ratio | |||||||||||||||||||||||||||||
| P/BV ratio4 | 3.02 | 3.19 | 2.93 | 2.89 | 2.82 | 3.00 | 2.78 | 3.13 | 3.32 | 3.23 | 3.34 | 3.04 | 2.91 | 3.05 | 3.09 | 3.07 | 2.87 | 2.85 | 3.95 | 3.60 | 4.96 | 4.99 | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| P/BV Ratio, Competitors5 | |||||||||||||||||||||||||||||
| Abbott Laboratories | 5.21 | 5.56 | 5.75 | 6.61 | 6.38 | 6.27 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Elevance Health Inc. | 3.08 | 3.55 | 3.07 | 2.88 | 2.67 | 2.78 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Intuitive Surgical Inc. | 6.29 | 7.48 | 8.59 | 10.64 | 10.35 | 10.40 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Medtronic PLC | 2.77 | 3.52 | 3.26 | 3.14 | 3.02 | 2.84 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| UnitedHealth Group Inc. | 6.94 | 6.54 | 6.27 | 6.13 | 5.76 | 5.86 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-K (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-K (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-K (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-K (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-K (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-Q (reporting date: 2016-12-31).
1 Data adjusted for splits and stock dividends.
2 Q2 2022 Calculation
BVPS = Shareholders’ equity ÷ No. shares of common stock outstanding
= 24,525,000,000 ÷ 285,064,629 = 86.03
3 Closing price as at the filing date of Becton, Dickinson & Co. Quarterly or Annual Report.
4 Q2 2022 Calculation
P/BV ratio = Share price ÷ BVPS
= 259.64 ÷ 86.03 = 3.02
5 Click competitor name to see calculations.
- Share Price Trend
- The share price exhibited an overall upward trajectory from the end of 2016 through early 2022, beginning at $177.97 and rising to $259.64 by March 31, 2022. The price experienced some volatility, notably a peak at $270.58 in December 2021 followed by a slight decline by March 2022. Periods of steady increases were occasionally interrupted by moderate corrections, such as the dip observed between September 2020 and March 2021.
- Book Value Per Share (BVPS)
- BVPS showed a significant increase from $35.63 at the end of 2016 to $86.03 by March 31, 2022, reflecting consistent growth in the underlying equity value per share. The growth was marked by considerable step-ups in certain quarters, such as the jump between March and June 2017. After the initial surge, BVPS stabilized with minor fluctuations around the $78 to $86 range across subsequent quarters, indicating steady but moderate equity expansion.
- Price-to-Book Value Ratio (P/BV)
- The P/BV ratio generally declined from a high of approximately 4.99 at the end of 2016 to fluctuate around the 3.0 mark from 2018 onwards. Notably, the ratio dropped sharply between early 2017 and the end of 2017, signaling a relative decrease in market valuation compared to book value at that time. Following this, it oscillated mildly between 2.78 and 3.34, reflecting more stable market valuations relative to equity. This pattern implies that while the share price appreciated, the book value growth tempered the ratio's increase, leading to a more balanced valuation perspective during later periods.
- Overall Insights
- The data reflects strengthening fundamental equity as demonstrated by the rising BVPS. While the share price increased substantially over the analyzed period, the P/BV ratio indicates a normalization of valuation levels following an initially high premium relative to book value. The combination of these trends suggests improved financial solidity and market confidence, with cyclical adjustments in valuation reflective of broader market conditions or company-specific events.