Replies to post #29858 on Baristas Coffee Company, Inc. (BCCI)

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P/S is the Price-to-Sales Ratio. Divide the market capitalization by sales during the last twelve month, usually referred to at TTM (Trailing Twelve Months). Market capitalization is currently somewhat over 40 million while sales for the last twelve month is less than 2 million. That will come to more than twenty in an industry where the average is about two.

The other one is P/E. Sorry if I made a typing error.

Take the market capitalization and divide it by the earnings. You will get a P/E of more than 100 in an industry where the average is around 10-12.

For those of this ratios, well-established companies tend to have a higher number. Of course, if there are no profits, there is no P/E, or P/E can be very high if profits are marginal at best. But the P/S ratio is always very telling.