Time Warner Cable Inc. (NYSE:TWC)

The data reveals several noteworthy trends in the financial performance and market valuation of the entity over the ten-year period ending in 2016.

Share Price

The share price exhibited significant volatility throughout the period. It began at a high of 123 US$ in early 2007, followed by a steep decline each year until approximately 2010 when the price reached a low near 46.89 US$. From 2010 onwards, a recovery trend is apparent, with the share price progressively gaining value and peaking at 184.99 US$ in early 2016. This turnaround suggests a positive shift in market sentiment, company performance, or external market conditions influencing investor confidence.

Sales Per Share

Sales per share showed a consistent upward trajectory over the analyzed time frame. Starting at 36.14 US$ in 2007, it increased steadily each year, reaching 83.66 US$ by 2016. This growth reflects an improving revenue base or efficiency gains on a per-share basis, indicative of effective operational management or market expansion.

Price-to-Sales (P/S) Ratio

The P/S ratio decreased sharply from 3.4 in 2007 to its lowest point of 0.93 in 2010, mirroring the declining share price during the same period despite increasing sales per share. Post-2010, the ratio climbed gradually, exceeding 2.2 by 2016. This suggests that the market began to assign higher valuation multiples relative to sales, possibly reflecting improved profitability prospects, investor optimism, or a re-rating of the stock’s value.

In summary, the period between 2007 and 2010 was characterized by substantial share price deterioration and compressed valuation multiples notwithstanding steadily rising sales per share. The recovery phase from 2010 onward signals restoration of investor confidence aligned with continued sales growth, resulting in enhanced market valuation by 2016.