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Firstsource Solutions (NSE:FSL) Cyclically Adjusted PS Ratio : 2.32 (As of Jun. 05, 2024)


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What is Firstsource Solutions Cyclically Adjusted PS Ratio?

As of today (2024-06-05), Firstsource Solutions's current share price is ₹181.90. Firstsource Solutions's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2024 was ₹78.54. Firstsource Solutions's Cyclically Adjusted PS Ratio for today is 2.32.

The historical rank and industry rank for Firstsource Solutions's Cyclically Adjusted PS Ratio or its related term are showing as below:

NSE:FSL' s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 0.43   Med: 1.59   Max: 3.33
Current: 2.34

During the past years, Firstsource Solutions's highest Cyclically Adjusted PS Ratio was 3.33. The lowest was 0.43. And the median was 1.59.

NSE:FSL's Cyclically Adjusted PS Ratio is ranked worse than
56.49% of 1455 companies
in the Software industry
Industry Median: 1.82 vs NSE:FSL: 2.34

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

Firstsource Solutions's adjusted revenue per share data for the three months ended in Mar. 2024 was ₹23.887. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is ₹78.54 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Firstsource Solutions Cyclically Adjusted PS Ratio Historical Data

The historical data trend for Firstsource Solutions's Cyclically Adjusted PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Firstsource Solutions Cyclically Adjusted PS Ratio Chart

Firstsource Solutions Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.43 1.68 1.78 1.43 2.52

Firstsource Solutions Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.43 1.67 2.18 2.37 2.52

Competitive Comparison of Firstsource Solutions's Cyclically Adjusted PS Ratio

For the Information Technology Services subindustry, Firstsource Solutions's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Firstsource Solutions's Cyclically Adjusted PS Ratio Distribution in the Software Industry

For the Software industry and Technology sector, Firstsource Solutions's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where Firstsource Solutions's Cyclically Adjusted PS Ratio falls into.



Firstsource Solutions Cyclically Adjusted PS Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.

Firstsource Solutions's Cyclically Adjusted PS Ratio for today is calculated as

Cyclically Adjusted PS Ratio=Share Price/ Cyclically Adjusted Revenue per Share
=181.90/78.54
=2.32

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Firstsource Solutions's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, Firstsource Solutions's adjusted Revenue per Share data for the three months ended in Mar. 2024 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=23.887/153.0345*153.0345
=23.887

Current CPI (Mar. 2024) = 153.0345.

Firstsource Solutions Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201406 11.018 94.103 17.918
201409 10.936 96.780 17.293
201412 10.383 96.780 16.418
201503 10.748 97.163 16.928
201506 10.536 99.841 16.149
201509 11.223 101.753 16.879
201512 11.529 102.901 17.146
201603 12.734 102.518 19.009
201606 12.527 105.961 18.092
201609 12.510 105.961 18.068
201612 12.531 105.196 18.230
201703 12.562 105.196 18.275
201706 12.357 107.109 17.655
201709 12.311 109.021 17.281
201712 12.572 109.404 17.586
201803 12.672 109.786 17.664
201806 13.087 111.317 17.992
201809 13.532 115.142 17.985
201812 13.971 115.142 18.569
201903 13.909 118.202 18.008
201906 13.998 120.880 17.722
201909 13.983 123.175 17.373
201912 15.049 126.235 18.244
202003 15.360 124.705 18.849
202006 15.091 127.000 18.185
202009 16.787 130.118 19.744
202012 19.197 130.889 22.445
202103 20.397 131.771 23.688
202106 20.987 134.084 23.953
202109 20.589 135.847 23.194
202112 20.490 138.161 22.696
202203 21.603 138.822 23.815
202206 20.654 142.347 22.205
202209 20.886 144.661 22.095
202212 21.418 145.763 22.486
202303 22.137 146.865 23.067
202306 21.812 150.280 22.212
202309 21.972 151.492 22.196
202312 22.796 152.924 22.812
202403 23.887 153.035 23.887

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Firstsource Solutions  (NSE:FSL) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.


Firstsource Solutions Cyclically Adjusted PS Ratio Related Terms

Thank you for viewing the detailed overview of Firstsource Solutions's Cyclically Adjusted PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Firstsource Solutions (NSE:FSL) Business Description

Traded in Other Exchanges
Address
Mindspace, Link Road, 5th Floor, Paradigm ‘B’ Wing, Malad (West), Mumbai, MH, IND, 400 064
Firstsource Solutions Ltd is engaged in the business of providing customer management services like contact centers, transaction processing, and debt collection services. The company's business segment includes Banking and Financial Services, Healthcare, Communication, Media and Technology, and Diverse Industries. It generates maximum revenue from the Banking and Financial Services segment. Geographically, it derives a majority of its revenue from the United States of America.

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