This study is focused on the �price-to-sales ratio� (P/S) and the �enterprise value-to-sales ratio� (EV/S), which are used in relative valuation, in the analysis of companies� performance, as well as in the analysis of different sectors and of the market as a whole. Special attention is paid to certain important requirements, related to the correct interpretation of market and sector averages of these ratios nowadays, including against the background of their historic levels. The identification,…