WEBULL

What Hyundai Department Store Co. Ltd.'s (KRX:069960) P/S Is Not Telling You

Simply Wall St · 2d ago

It's not a stretch to say that Hyundai Department Store Co. Ltd.'s (KRX:069960) price-to-sales (or "P/S") ratio of 0.5x seems quite "middle-of-the-road" for Multiline Retail companies in Korea, seeing as it matches the P/S ratio of the wider industry. 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.

Check out our latest analysis for Hyundai Department Store

ps-multiple-vs-industry
KOSE:A069960 Price to Sales Ratio vs Industry December 18th 2025

What Does Hyundai Department Store's P/S Mean For Shareholders?

Recent revenue growth for Hyundai Department Store has been in line with the industry. It seems that many are expecting the mediocre revenue performance to persist, which has held the P/S ratio back. If you like the company, you'd be hoping this can at least be maintained so that you could pick up some stock while it's not quite in favour.

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

How Is Hyundai Department Store's Revenue Growth Trending?

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

Retrospectively, the last year delivered a decent 5.2% gain to the company's revenues. Still, lamentably revenue has fallen 3.7% in aggregate from three years ago, which is disappointing. Accordingly, shareholders would have felt downbeat about the medium-term rates of revenue growth.

Looking ahead now, revenue is anticipated to climb by 0.4% during the coming year according to the analysts following the company. With the industry predicted to deliver 2.4% growth, the company is positioned for a weaker revenue result.

With this information, we find it interesting that Hyundai Department Store is trading at a fairly similar P/S compared to the industry. Apparently many investors in the company are less bearish than analysts indicate and aren't willing to let go of their stock right now. These shareholders may be setting themselves up for future disappointment if the P/S falls to levels more in line with the growth outlook.

What Does Hyundai Department Store's P/S Mean For Investors?

While the price-to-sales ratio shouldn't be the defining factor in whether you buy a stock or not, it's quite a capable barometer of revenue expectations.

Given that Hyundai Department Store's revenue growth projections are relatively subdued in comparison to the wider industry, it comes as a surprise to see it trading at its current P/S ratio. At present, we aren't confident in the P/S as the predicted future revenues aren't likely to support a more positive sentiment for long. Circumstances like this present a risk to current and prospective investors who may see share prices fall if the low revenue growth impacts the sentiment.

A lot of potential risks can sit within a company's balance sheet. You can assess many of the main risks through our free balance sheet analysis for Hyundai Department Store with six simple checks.

If these risks are making you reconsider your opinion on Hyundai Department Store, explore our interactive list of high quality stocks to get an idea of what else is out there.