WEBULL

Investors Give Dexelance S.p.A. (BIT:DEX) Shares A 26% Hiding

Simply Wall St · 1d ago

To the annoyance of some shareholders, Dexelance S.p.A. (BIT:DEX) shares are down a considerable 26% in the last month, which continues a horrid run for the company. The recent drop completes a disastrous twelve months for shareholders, who are sitting on a 54% loss during that time.

Although its price has dipped substantially, there still wouldn't be many who think Dexelance's price-to-sales (or "P/S") ratio of 0.4x is worth a mention when the median P/S in Italy's Consumer Durables industry is similar at about 0.6x. 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.

We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free.

View our latest analysis for Dexelance

ps-multiple-vs-industry
BIT:DEX Price to Sales Ratio vs Industry December 16th 2025

How Has Dexelance Performed Recently?

Dexelance hasn't been tracking well recently as its declining revenue compares poorly to other companies, which have seen some growth in their revenues on average. Perhaps the market is expecting its poor revenue performance to improve, keeping the P/S from dropping. If not, then existing shareholders may be a little nervous about the viability of the share price.

Want the full picture on analyst estimates for the company? Then our free report on Dexelance will help you uncover what's on the horizon.

Is There Some Revenue Growth Forecasted For Dexelance?

There's an inherent assumption that a company should be matching the industry for P/S ratios like Dexelance's to be considered reasonable.

In reviewing the last year of financials, we were disheartened to see the company's revenues fell to the tune of 2.7%. However, a few very strong years before that means that it was still able to grow revenue by an impressive 80% in total over the last three years. Although it's been a bumpy ride, it's still fair to say the revenue growth recently has been more than adequate for the company.

Looking ahead now, revenue is anticipated to climb by 14% during the coming year according to the two analysts following the company. Meanwhile, the rest of the industry is forecast to only expand by 9.0%, which is noticeably less attractive.

With this information, we find it interesting that Dexelance is trading at a fairly similar P/S compared to the industry. It may be that most investors aren't convinced the company can achieve future growth expectations.

What Does Dexelance's P/S Mean For Investors?

With its share price dropping off a cliff, the P/S for Dexelance looks to be in line with the rest of the Consumer Durables industry. Generally, our preference is to limit the use of the price-to-sales ratio to establishing what the market thinks about the overall health of a company.

Looking at Dexelance's analyst forecasts revealed that its superior revenue outlook isn't giving the boost to its P/S that we would've expected. Perhaps uncertainty in the revenue forecasts are what's keeping the P/S ratio consistent with the rest of the industry. However, if you agree with the analysts' forecasts, you may be able to pick up the stock at an attractive price.

There are also other vital risk factors to consider and we've discovered 4 warning signs for Dexelance (1 is significant!) that you should be aware of before investing here.

If strong companies turning a profit tickle your fancy, then you'll want to check out this free list of interesting companies that trade on a low P/E (but have proven they can grow earnings).