FBS Global shares surge 19.84% after-hours as investors align P/S ratio with industry despite declining revenues.

FBS Global surged 19.84% in after-hours trading following analysis from Simply Wall St highlighting its price-to-sales (P/S) ratio aligning with the industry median of 1.2x, despite weak underlying fundamentals. The report noted a 27% monthly share price recovery and suggested investor optimism may be driven by improved sentiment, even as revenue has declined 37% year-over-year and 46% over three years. While the P/S normalization could signal renewed confidence, the analysis warned the valuation may not be sustainable without meaningful revenue growth. The stock’s after-hours jump appears tied to market reassessment of its valuation metrics, with investors potentially betting on a turnaround despite the firm’s historical underperformance.