Latest Ratios: P/E Ratio -13.1x · EV/EBITDA 29.5x · ROE -14.6%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $11.8B | $9.8B | $14.9B | $19.6B | $25.7B | $43.6B | $41.5B | $43.4B | $35.9B | $35.9B | $24.4B |
| Enterprise Value | $19.8B | $17.8B | $26.6B | $30.6B | $41.2B | $59.0B | $44.6B | $46.0B | $37.6B | $36.0B | $24.4B |
| P/E Ratio → | -13.06 | — | — | 7.39 | — | 33.93 | 37.67 | 43.33 | 22.16 | 59.85 | 4.92 |
| P/S Ratio | 1.05 | 0.87 | 1.40 | 1.89 | 2.55 | 3.59 | 3.55 | 3.82 | 3.24 | 3.39 | 2.40 |
| P/B Ratio | 1.92 | 1.61 | 2.12 | 2.31 | 4.36 | 4.78 | 4.75 | 5.49 | 4.57 | 3.94 | 2.95 |
| P/FCF | 36.54 | 30.35 | 26.60 | 15.16 | 44.60 | 28.48 | 35.79 | 30.82 | 26.46 | 32.67 | 26.13 |
| P/OCF | 13.97 | 11.60 | 14.59 | 11.33 | 21.21 | 19.62 | 22.21 | 20.63 | 17.82 | 20.93 | 14.77 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.59 | 2.50 | 2.95 | 4.09 | 4.85 | 3.82 | 4.05 | 3.39 | 3.40 | 2.40 |
| EV / EBITDA | 29.48 | 26.51 | 26.27 | 18.09 | — | 26.60 | 18.27 | 17.97 | 15.96 | 17.66 | 15.80 |
| EV / EBIT | — | — | 223.16 | 40.80 | — | 44.57 | 30.84 | 42.58 | 21.98 | 30.37 | 4.84 |
| EV / FCF | — | 55.23 | 47.51 | 23.72 | 71.48 | 38.51 | 38.45 | 32.69 | 27.68 | 32.78 | 26.11 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 30.1% | 30.1% | 37.5% | 40.1% | 35.3% | 38.9% | 39.3% | 41.9% | 42.9% | 42.3% | 40.5% |
| Operating Margin | -2.7% | -2.7% | 0.1% | 6.8% | -28.3% | 11.1% | 13.8% | 15.6% | 14.3% | 12.2% | 7.3% |
| Net Profit Margin | -8.5% | -8.5% | -6.1% | 25.6% | -24.2% | 10.6% | 9.4% | 8.8% | 13.9% | 5.7% | 48.9% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | -14.6% | -14.6% | -8.4% | 37.0% | -32.4% | 14.4% | 13.2% | 12.7% | 18.2% | 6.9% | 57.9% |
| ROA | -4.2% | -4.2% | -2.4% | 9.4% | -7.9% | 4.8% | 5.8% | 5.9% | 9.4% | 3.7% | 27.2% |
| ROIC | -1.4% | -1.4% | 0.1% | 2.6% | -9.3% | 5.6% | 10.9% | 13.3% | 12.7% | 11.0% | 5.2% |
| ROCE | -1.7% | -1.7% | 0.1% | 3.1% | -10.8% | 5.9% | 10.2% | 12.7% | 11.6% | 9.5% | 5.3% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.64 | 1.64 | 1.91 | 1.67 | 2.92 | 2.01 | 0.78 | 0.75 | 0.44 | 0.39 | 0.34 |
| Debt / EBITDA | 14.86 | 14.86 | 13.30 | 8.35 | — | 8.26 | 2.79 | 2.33 | 1.48 | 1.72 | 1.80 |
| Net Debt / Equity | — | 1.32 | 1.66 | 1.30 | 2.63 | 1.68 | 0.35 | 0.33 | 0.21 | 0.01 | -0.00 |
| Net Debt / EBITDA | 11.94 | 11.94 | 11.56 | 6.53 | — | 6.93 | 1.26 | 1.03 | 0.70 | 0.06 | -0.01 |
| Debt / FCF | — | 24.88 | 20.90 | 8.55 | 26.88 | 10.03 | 2.65 | 1.87 | 1.21 | 0.11 | -0.02 |
| Interest Coverage | -0.74 | -0.74 | 0.29 | 1.48 | -6.86 | 6.39 | 9.44 | 9.74 | 18.39 | 13.94 | 56.66 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 2.31 | 2.31 | 1.36 | 1.48 | 1.69 | 2.09 | 2.52 | 2.32 | 2.12 | 2.57 | 2.40 |
| Quick Ratio | 1.56 | 1.56 | 1.05 | 1.18 | 1.12 | 1.52 | 1.95 | 1.81 | 1.53 | 2.05 | 1.87 |
| Cash Ratio | 0.66 | 0.66 | 0.27 | 0.47 | 0.36 | 0.70 | 1.12 | 1.03 | 0.65 | 1.20 | 1.02 |
| Asset Turnover | — | 0.56 | 0.41 | 0.37 | 0.36 | 0.36 | 0.58 | 0.62 | 0.71 | 0.62 | 0.65 |
| Inventory Turnover | 3.52 | 3.52 | 3.25 | 3.24 | 2.43 | 3.03 | 3.70 | 3.99 | 3.80 | 4.14 | 4.23 |
| Days Sales Outstanding | — | 62.72 | 59.37 | 62.43 | 95.20 | 81.53 | 64.95 | 60.91 | 60.51 | 61.83 | 60.73 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 3.0% | 3.5% | 4.0% | 3.0% | 2.2% | 1.2% | 1.1% | 1.0% | 1.0% | 0.9% | 1.1% |
| Payout Ratio | — | — | — | 22.1% | — | 41.3% | 42.9% | 42.3% | 24.3% | 52.3% | 5.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | — | 13.5% | — | 2.9% | 2.7% | 2.3% | 4.5% | 1.7% | 20.3% |
| FCF Yield | 2.7% | 3.3% | 3.8% | 6.6% | 2.2% | 3.5% | 2.8% | 3.2% | 3.8% | 3.1% | 3.8% |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.1% | 1.4% | 1.2% | 2.9% | 6.8% | 1.6% | 1.2% |
| Total Shareholder Yield | 3.0% | 3.5% | 4.0% | 3.0% | 2.4% | 2.6% | 2.3% | 3.9% | 7.9% | 2.5% | 2.3% |
| Shares Outstanding | — | $513M | $510M | $506M | $504M | $508M | $517M | $519M | $546M | $555M | $551M |
Portfolio transformation execution risk
According to current market data, Baxter trades at a forward P/E of 11.48, which appears to discount the company's ongoing portfolio restructuring and the significant earnings volatility that has characterized recent fiscal periods compared to the higher multiples commanded by pure-play medical device peers like Edwards Lifesciences.
The divergence between the negative TTM P/E and the forward-looking multiple suggests that investors are pricing in a recovery contingent upon the successful Vantive spin-off. However, the elevated EV/EBITDA of 28.85 relative to peers indicates that the market remains cautious about the company's underlying debt burden and the quality of its remaining earnings power.
As reported in financial statements, Baxter's ROIC has struggled to maintain positive territory, hovering near 0.4% in 2026Q1, which highlights a significant decay in capital compounding efficiency as the firm navigates the integration of Hillrom and the subsequent divestiture of its legacy renal care assets.
The inability to generate meaningful returns on invested capital suggests that the capital deployed for recent acquisitions has not yet reached an accretive phase. Investors should monitor whether the post-spin-off entity can improve these returns by shedding lower-margin, capital-intensive segments that have historically diluted the company's overall return profile.
Based on recent quarterly filings, Baxter's cash conversion cycle has remained elevated at 122 days in 2026Q1, driven by persistent inventory bloat and inefficient accounts receivable management that significantly lags the operational agility typically observed in more streamlined medical technology competitors.
The high days inventory outstanding, which reached 113 days in the most recent quarter, suggests potential challenges in aligning production volumes with actual hospital demand. This inefficiency ties up critical liquidity and warrants further investigation into whether the company's supply chain logistics are optimized for its current product mix.
As evidenced by quarterly balance sheet data, Baxter's debt-to-equity ratio of 1.61 and interest coverage ratio of 1.00 in 2026Q1 indicate a precarious leverage position that limits the company's strategic flexibility during this period of intense organizational and operational transformation.
The thin interest coverage ratio suggests that the company is operating with minimal margin for error regarding its debt service obligations. Any further deterioration in operating income could force management to prioritize debt reduction over necessary R&D or growth-oriented capital expenditures, potentially hindering long-term competitiveness.
The P/E ratio is frequently misapplied to Baxter's current business model, as it fails to account for the massive, non-recurring restructuring charges and divestiture-related accounting noise that currently distort the company's reported net income and obscure its true underlying cash-generating capacity.
Analysts should instead focus on EV/EBITDA or free cash flow yield to better assess the company's valuation, as these metrics are less sensitive to the accounting volatility inherent in the Vantive spin-off. Relying on P/E in this context risks misinterpreting a temporary earnings trough as a permanent impairment of value.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying BAX stock.
Baxter International Inc.'s current P/E ratio is -13.1x. The historical average is 18.7x.
Baxter International Inc.'s current EV/EBITDA is 29.5x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 12.9x.
Baxter International Inc.'s return on equity (ROE) is -14.6%. The historical average is 19.1%.
Based on historical data, Baxter International Inc. is trading at a P/E of -13.1x. Compare with industry peers and growth rates for a complete picture.
Baxter International Inc.'s current dividend yield is 2.97%.
Baxter International Inc. has 30.1% gross margin and -2.7% operating margin.
Baxter International Inc.'s Debt/EBITDA ratio is 14.9x, indicating high leverage. A ratio above 4x may signal elevated financial risk.