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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- Statement of Comprehensive Income
- Balance Sheet: Assets
- Balance Sheet: Liabilities and Stockholders’ Equity
- Common-Size Income Statement
- Analysis of Long-term (Investment) Activity Ratios
- Dividend Discount Model (DDM)
- Present Value of Free Cash Flow to Equity (FCFE)
- Price to Earnings (P/E) since 2005
- Analysis of Revenues
- Analysis of Debt
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Historical Valuation Ratios (Summary)
Eli Lilly & Co., historical price multiples (quarterly data)
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 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
- The price to earnings ratio demonstrates a sustained upward trend from March 2021 through March 2025. Starting at 31.95 in March 2021, the ratio initially increased moderately, reaching 40.66 by March 2022. Subsequently, the P/E ratio accelerated its rise sharply, peaking at 135.24 in December 2023. Following this peak, a gradual decline is observed, with the ratio decreasing to 67.76 by March 2025. This pattern suggests heightened market expectations or price valuation relative to earnings during the 2022-2023 period, followed by a period of correction or normalization.
- Price to Operating Profit (P/OP) Ratio
- The price to operating profit ratio follows a similar pattern to the P/E ratio but with slightly lower peak values. From March 2021 (32.66), it shows gradual increases and fluctuations leading to a significant climb to 109.75 in December 2023. Afterward, the ratio declines steadily to 53.43 by March 2025. The movement indicates that operating profit valuations mirrored the trends seen in earnings multiples, reflecting changing investor optimism or company profitability perceptions in operating terms.
- Price to Sales (P/S) Ratio
- The price to sales ratio also exhibits an upward trend over the period analyzed. Beginning at 8.06 in March 2021, the ratio climbed gradually, with a distinct acceleration from late 2022 onwards, reaching a high of 20.77 in December 2023. After this, it remained relatively stable, with minor decreases to 15.36 by March 2025. This gradual increase points to rising price valuation relative to sales, signaling strong sales growth expectations or improved pricing power.
- Price to Book Value (P/BV) Ratio
- The price to book value ratio shows considerable volatility and a less consistent trend compared to other ratios. Initially higher at 47.73 in March 2020, it declined substantially to 25.41 by March 2021. Subsequently, the ratio experienced alternating increases and decreases, with peaks at 65.8 in December 2023 followed by a decrease to 47.74 in March 2025. This volatility suggests fluctuations in market valuation relative to the company’s book value, potentially influenced by changes in asset valuations, investor sentiment regarding net asset value, or capital structure adjustments.
Price to Earnings (P/E)
Eli Lilly & Co., historical P/E calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | 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 | ||||||||||||||||||||||||||||
| AbbVie Inc. | ||||||||||||||||||||||||||||
| Amgen Inc. | ||||||||||||||||||||||||||||
| Bristol-Myers Squibb Co. | ||||||||||||||||||||||||||||
| Danaher Corp. | ||||||||||||||||||||||||||||
| Gilead Sciences Inc. | ||||||||||||||||||||||||||||
| Johnson & Johnson | ||||||||||||||||||||||||||||
| Merck & Co. Inc. | ||||||||||||||||||||||||||||
| Pfizer Inc. | ||||||||||||||||||||||||||||
| Regeneron Pharmaceuticals Inc. | ||||||||||||||||||||||||||||
| Thermo Fisher Scientific Inc. | ||||||||||||||||||||||||||||
| Vertex Pharmaceuticals Inc. | ||||||||||||||||||||||||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 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 Q1 2025 Calculation
EPS
= (Net income (loss)Q1 2025
+ Net income (loss)Q4 2024
+ Net income (loss)Q3 2024
+ Net income (loss)Q2 2024)
÷ No. shares of common stock outstanding
= ( + + + )
÷ =
3 Closing price as at the filing date of Eli Lilly & Co. Quarterly or Annual Report.
4 Q1 2025 Calculation
P/E ratio = Share price ÷ EPS
= ÷ =
5 Click competitor name to see calculations.
The analyzed financial data reveals notable trends in share price, earnings per share (EPS), and price-to-earnings (P/E) ratio over multiple quarterly periods.
- Share Price
- The share price exhibited a generally upward trajectory from early 2020 through to the first quarter of 2025, increasing from approximately $153.63 to $794.10. Notable increments appear particularly strong from late 2022 onward, with accelerated growth peaking in the final quarters of 2023 and early 2024. Despite minor fluctuations, the overall direction signaled significant capital appreciation over the period analyzed.
- Earnings per Share (EPS)
- EPS data, available starting in March 2021, shows a pattern of relative stability with moderate fluctuations around a range of approximately $5.25 to $11.72. Early periods saw EPS values around the mid-6-dollar range with dips and recoveries thereafter. From the middle of 2023 onward, a clear upward trend emerged, culminating in a near doubling of EPS by the first quarter of 2025. This suggests improving profitability or operational efficiency in the latter periods.
- Price-to-Earnings (P/E) Ratio
- The P/E ratio presented an erratic yet generally increasing pattern, starting around 31.95 and rising dramatically to above 135 by late 2023. Subsequently, the ratio declined gradually though remaining elevated above 67 by early 2025. The substantial rise in P/E despite growing EPS and share price implies increased investor expectations and possibly valuation multiples expanding more rapidly than earnings growth.
In summary, share prices demonstrated robust growth, supported by a strengthening EPS in later periods, while valuation multiples reflected heightened market optimism, as evidenced by elevated P/E ratios. The trends highlight a scenario of strong stock market performance alongside improving financial results, tempered by valuations reaching historically high levels that may suggest investor caution moving forward.
Price to Operating Profit (P/OP)
Eli Lilly & Co., historical P/OP calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | ||||||||||||||||||||||||||||
| Selected Financial Data (US$) | ||||||||||||||||||||||||||||
| Operating income (in thousands) | ||||||||||||||||||||||||||||
| Operating profit per share2 | ||||||||||||||||||||||||||||
| Share price1, 3 | ||||||||||||||||||||||||||||
| Valuation Ratio | ||||||||||||||||||||||||||||
| P/OP ratio4 | ||||||||||||||||||||||||||||
| Benchmarks | ||||||||||||||||||||||||||||
| P/OP Ratio, Competitors5 | ||||||||||||||||||||||||||||
| AbbVie Inc. | ||||||||||||||||||||||||||||
| Amgen Inc. | ||||||||||||||||||||||||||||
| Bristol-Myers Squibb Co. | ||||||||||||||||||||||||||||
| Danaher Corp. | ||||||||||||||||||||||||||||
| Gilead Sciences Inc. | ||||||||||||||||||||||||||||
| Johnson & Johnson | ||||||||||||||||||||||||||||
| Merck & Co. Inc. | ||||||||||||||||||||||||||||
| Pfizer Inc. | ||||||||||||||||||||||||||||
| Regeneron Pharmaceuticals Inc. | ||||||||||||||||||||||||||||
| Thermo Fisher Scientific Inc. | ||||||||||||||||||||||||||||
| Vertex Pharmaceuticals Inc. | ||||||||||||||||||||||||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 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 Q1 2025 Calculation
Operating profit per share
= (Operating incomeQ1 2025
+ Operating incomeQ4 2024
+ Operating incomeQ3 2024
+ Operating incomeQ2 2024)
÷ No. shares of common stock outstanding
= ( + + + )
÷ =
3 Closing price as at the filing date of Eli Lilly & Co. Quarterly or Annual Report.
4 Q1 2025 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= ÷ =
5 Click competitor name to see calculations.
The analyzed data reveals notable trends over the examined periods in the share price, operating profit per share, and the price-to-operating profit (P/OP) ratio.
- Share Price
- The share price showed considerable volatility initially, with a decline from 153.63 US$ in March 2020 to a low of 131.31 US$ in September 2020, followed by a strong upward trend. Starting from December 2020, the share price increased substantially, reaching a peak of 867.05 US$ in December 2024. A slight decline is observed in March 2025 to 794.1 US$, indicating a minor correction after a prolonged rise.
- Operating Profit Per Share
- Operating profit per share data is available from March 2021 onward. It started at 6.32 US$ and experienced some fluctuations in the first year, dipping to 5.86 US$ in June 2021, then rising again to 7.5 US$ by December 2021. From 2022 forward, the profit per share steadily increased overall, reaching 14.86 US$ by March 2025, which represents significant growth and improved profitability over the period.
- Price-to-Operating Profit (P/OP) Ratio
- The P/OP ratio presents a declining trend in valuation relative to operating profit over time. Beginning with a ratio of 32.66 in March 2021, it peaked intermittently around 109.75 in December 2023 but showed a decreasing pattern afterward, falling to 53.43 by March 2025. This suggests that despite the rising share price and operating profits, the share price growth is becoming more justified by underlying profits, leading to a more conservative valuation multiple.
In summary, the share price exhibited strong growth following a period of recovery in 2020. Operating profit per share showed consistent improvement, underscoring enhanced earnings performance. Meanwhile, the decreasing P/OP ratio towards the latter periods indicates a tightening valuation reflecting increased profitability. These combined trends suggest an overall positive financial performance and strengthening market confidence while moving towards fundamental valuation normalization.
Price to Sales (P/S)
Eli Lilly & Co., historical P/S calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | 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$) | ||||||||||||||||||||||||||||
| Revenue (in thousands) | ||||||||||||||||||||||||||||
| Sales per share2 | ||||||||||||||||||||||||||||
| Share price1, 3 | ||||||||||||||||||||||||||||
| Valuation Ratio | ||||||||||||||||||||||||||||
| P/S ratio4 | ||||||||||||||||||||||||||||
| Benchmarks | ||||||||||||||||||||||||||||
| P/S Ratio, Competitors5 | ||||||||||||||||||||||||||||
| AbbVie Inc. | ||||||||||||||||||||||||||||
| Amgen Inc. | ||||||||||||||||||||||||||||
| Bristol-Myers Squibb Co. | ||||||||||||||||||||||||||||
| Danaher Corp. | ||||||||||||||||||||||||||||
| Gilead Sciences Inc. | ||||||||||||||||||||||||||||
| Johnson & Johnson | ||||||||||||||||||||||||||||
| Merck & Co. Inc. | ||||||||||||||||||||||||||||
| Pfizer Inc. | ||||||||||||||||||||||||||||
| Regeneron Pharmaceuticals Inc. | ||||||||||||||||||||||||||||
| Thermo Fisher Scientific Inc. | ||||||||||||||||||||||||||||
| Vertex Pharmaceuticals Inc. | ||||||||||||||||||||||||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 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 Q1 2025 Calculation
Sales per share
= (RevenueQ1 2025
+ RevenueQ4 2024
+ RevenueQ3 2024
+ RevenueQ2 2024)
÷ No. shares of common stock outstanding
= ( + + + )
÷ =
3 Closing price as at the filing date of Eli Lilly & Co. Quarterly or Annual Report.
4 Q1 2025 Calculation
P/S ratio = Share price ÷ Sales per share
= ÷ =
5 Click competitor name to see calculations.
The analysis of the quarterly financial indicators reveals distinct trends in share price, sales per share, and price-to-sales (P/S) ratio over the period from early 2020 through the first quarter of 2025.
- Share Price
- The share price exhibited fluctuations initially, with a decline from $153.63 in March 2020 to $131.31 by September 2020, followed by a substantial increase peaking at $206.46 in December 2020. Subsequently, the price oscillated but generally trended upward, reaching a significant surge starting in early 2023. From March 2023 onwards, the share price rose sharply from $390.35 to a high of $867.05 in December 2024. A slight dip to $794.10 was observed in March 2025, yet the overall trajectory remained markedly positive, indicating strong market confidence or valuation growth during this timeframe.
- Sales Per Share
- Sales per share data begins from March 2021 and shows a steady and consistent increase over the subsequent quarters. Starting at $25.60 in the first recorded quarter, sales per share rose gradually, reaching $30.03 by the first quarter of 2023, and continuing to climb to $51.71 in March 2025. This steady growth underscores improving revenue generation on a per-share basis and reflects operational expansion or enhanced sales efficiency.
- Price-to-Sales (P/S) Ratio
- The P/S ratio displayed noteworthy volatility through the periods analyzed. Initially, it declined from 8.06 in March 2021 to a low of 6.88 in June 2021 before experiencing a sharp increase to 9.16 in September 2021. This ratio continued to rise, reaching a peak of 20.77 by September 2023, signaling a significant premium being placed on sales. The ratio slightly decreased thereafter but remained elevated, finishing at 15.36 in March 2025. The elevated P/S ratios in recent years suggest boosting investor sentiment and willingness to pay a premium for sales, possibly driven by expectations of future growth or profitability enhancements.
In summary, the data indicates a robust upward trend in share price and sales per share over the evaluated period, accompanied by a substantial increase in the P/S ratio, particularly from 2023 onward. This combination suggests improved financial performance alongside heightened market valuation relative to sales, reflecting investor optimism and enhanced company prospects in this timeframe.
Price to Book Value (P/BV)
Eli Lilly & Co., historical P/BV calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | ||||||||||||||||||||||||||||
| Selected Financial Data (US$) | ||||||||||||||||||||||||||||
| Total Eli Lilly and Company shareholders’ equity (in thousands) | ||||||||||||||||||||||||||||
| Book value per share (BVPS)2 | ||||||||||||||||||||||||||||
| Share price1, 3 | ||||||||||||||||||||||||||||
| Valuation Ratio | ||||||||||||||||||||||||||||
| P/BV ratio4 | ||||||||||||||||||||||||||||
| Benchmarks | ||||||||||||||||||||||||||||
| P/BV Ratio, Competitors5 | ||||||||||||||||||||||||||||
| AbbVie Inc. | ||||||||||||||||||||||||||||
| Amgen Inc. | ||||||||||||||||||||||||||||
| Bristol-Myers Squibb Co. | ||||||||||||||||||||||||||||
| Danaher Corp. | ||||||||||||||||||||||||||||
| Gilead Sciences Inc. | ||||||||||||||||||||||||||||
| Johnson & Johnson | ||||||||||||||||||||||||||||
| Merck & Co. Inc. | ||||||||||||||||||||||||||||
| Pfizer Inc. | ||||||||||||||||||||||||||||
| Regeneron Pharmaceuticals Inc. | ||||||||||||||||||||||||||||
| Thermo Fisher Scientific Inc. | ||||||||||||||||||||||||||||
| Vertex Pharmaceuticals Inc. | ||||||||||||||||||||||||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 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 Q1 2025 Calculation
BVPS = Total Eli Lilly and Company shareholders’ equity ÷ No. shares of common stock outstanding
= ÷ =
3 Closing price as at the filing date of Eli Lilly & Co. Quarterly or Annual Report.
4 Q1 2025 Calculation
P/BV ratio = Share price ÷ BVPS
= ÷ =
5 Click competitor name to see calculations.
- Share Price Trends
- The share price exhibited considerable volatility throughout the observed periods. Initially, the share price declined from $153.63 at the end of March 2020 to a low of $131.31 by late September 2020. Subsequently, a marked upward trend began, with prices exceeding $200 by the end of December 2020. This bullish trajectory continued strongly, reaching a peak of $745.91 by the end of December 2023. The price further increased to $867.05 by late September 2024 before experiencing a notable decline to $794.10 by the first quarter of 2025. Overall, the period shows substantial growth in market valuation despite intermittent declines.
- Book Value Per Share (BVPS) Trends
- BVPS demonstrated a steady upward progression across the reporting periods. Starting at $3.22 in the first quarter of 2020, the book value per share rose consistently, achieving a value of approximately $16.63 by March 2025. This growth highlights sustained improvements in the company's net asset base on a per-share metric, with occasional minor fluctuations in the mid-periods (notably around late 2021 and early 2023) where the increase plateaued briefly before resuming the upward trajectory.
- Price-to-Book Value (P/BV) Ratio Dynamics
- The P/BV ratio experienced significant fluctuations, reflecting varying investor sentiment relative to the company’s book value. Initially, this ratio was exceptionally high at 47.73 in early 2020, indicating the market price considerably exceeded book value. Over the next several quarters, the ratio generally declined to a low point near 25 by the end of 2020 and early 2021. In subsequent periods, the P/BV ratio oscillated upwards again, reaching a peak of around 65.8 at the end of 2023, suggesting increasing market optimism or perhaps elevated valuation multiples. Following this peak, the ratio moderated but remained elevated, fluctuating between roughly 45 and 60 through the first quarter of 2025. These movements illustrate periods of amplified market optimism alternating with corrections, while the company's underlying book value steadily increased.
- Insight Summary
- The analysis reveals a company experiencing robust growth in its intrinsic book value alongside a more volatile but generally rising market valuation. The share price’s steep rise through late 2023 into 2024, paired with the elevated P/BV ratios, suggests heightened investor confidence or market speculation during those times. The subsequent moderation in share price and valuation multiples indicates a potential recalibration by investors closer to fundamental values. Despite such adjustments, both the book value and share price remain substantially elevated compared to early 2020 levels, indicating improved financial strength and market positioning over the period.