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    Revenues Not Telling The Story For CTR Mobility Co.,Ltd. (KRX:308170) After Shares Rise 32%

    Simply Wall St·12/29/2025 21:20:48
    語音播報

    CTR Mobility Co.,Ltd. (KRX:308170) shareholders have had their patience rewarded with a 32% share price jump in the last month. Taking a wider view, although not as strong as the last month, the full year gain of 11% is also fairly reasonable.

    Even after such a large jump in price, there still wouldn't be many who think CTR MobilityLtd's price-to-sales (or "P/S") ratio of 0.1x is worth a mention when the median P/S in Korea's Auto Components industry is similar at about 0.2x. While this might not raise any eyebrows, if the P/S ratio is not justified investors could be missing out on a potential opportunity or ignoring looming disappointment.

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    Check out our latest analysis for CTR MobilityLtd

    ps-multiple-vs-industry
    KOSE:A308170 Price to Sales Ratio vs Industry December 29th 2025

    What Does CTR MobilityLtd's P/S Mean For Shareholders?

    CTR MobilityLtd has been doing a decent job lately as it's been growing revenue at a reasonable pace. It might be that many expect the respectable revenue performance to only match most other companies over the coming period, which has kept the P/S from rising. If not, then at least existing shareholders probably aren't too pessimistic about the future direction of the share price.

    We don't have analyst forecasts, but you can see how recent trends are setting up the company for the future by checking out our free report on CTR MobilityLtd's earnings, revenue and cash flow.

    How Is CTR MobilityLtd's Revenue Growth Trending?

    The only time you'd be comfortable seeing a P/S like CTR MobilityLtd's is when the company's growth is tracking the industry closely.

    Taking a look back first, we see that the company managed to grow revenues by a handy 4.1% last year. Revenue has also lifted 13% in aggregate from three years ago, partly thanks to the last 12 months of growth. So we can start by confirming that the company has actually done a good job of growing revenue over that time.

    Comparing the recent medium-term revenue trends against the industry's one-year growth forecast of 8.8% shows it's noticeably less attractive.

    With this in mind, we find it intriguing that CTR MobilityLtd's P/S is comparable to that of its industry peers. It seems most investors are ignoring the fairly limited recent growth rates and are willing to pay up for exposure to the stock. They may be setting themselves up for future disappointment if the P/S falls to levels more in line with recent growth rates.

    The Bottom Line On CTR MobilityLtd's P/S

    Its shares have lifted substantially and now CTR MobilityLtd's P/S is back within range of the industry median. We'd say the price-to-sales ratio's power isn't primarily as a valuation instrument but rather to gauge current investor sentiment and future expectations.

    We've established that CTR MobilityLtd's average P/S is a bit surprising since its recent three-year growth is lower than the wider industry forecast. When we see weak revenue with slower than industry growth, we suspect the share price is at risk of declining, bringing the P/S back in line with expectations. Unless the recent medium-term conditions improve, it's hard to accept the current share price as fair value.

    Plus, you should also learn about these 3 warning signs we've spotted with CTR MobilityLtd (including 1 which is a bit unpleasant).

    It's important to make sure you look for a great company, not just the first idea you come across. So if growing profitability aligns with your idea of a great company, take a peek at this free list of interesting companies with strong recent earnings growth (and a low P/E).