Latest Ratios: P/E Ratio 38.3x · EV/EBITDA 22.6x · ROE 43.5%. (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 | $64.0B | $48.4B | $51.6B | $41.5B | $28.4B | $27.1B | $21.9B | $18.6B | $16.0B | $13.7B | $14.1B |
| Enterprise Value | $66.6B | $51.0B | $53.8B | $43.6B | $30.8B | $29.6B | $24.0B | $20.4B | $17.6B | $15.7B | $16.1B |
| P/E Ratio → | 38.32 | 28.50 | 27.23 | 22.70 | 18.38 | 25.94 | 31.56 | 21.90 | 20.42 | 23.58 | 23.53 |
| P/S Ratio | 3.57 | 2.70 | 3.01 | 2.52 | 1.87 | 2.08 | 1.86 | 1.62 | 1.42 | 1.31 | 1.39 |
| P/B Ratio | 15.72 | 11.70 | 13.95 | 12.07 | 10.39 | 12.52 | 10.48 | 9.02 | 7.63 | 7.49 | 7.41 |
| P/FCF | 48.12 | 36.39 | 32.90 | 26.18 | 26.39 | 39.67 | 23.68 | 22.64 | 19.51 | 16.72 | 19.66 |
| P/OCF | 31.78 | 24.04 | 24.47 | 20.44 | 21.32 | 28.87 | 19.53 | 17.84 | 15.10 | 12.97 | 14.09 |
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 | — | 2.84 | 3.13 | 2.65 | 2.02 | 2.27 | 2.03 | 1.78 | 1.57 | 1.51 | 1.59 |
| EV / EBITDA | 22.62 | 17.32 | 18.72 | 15.69 | 12.76 | 17.06 | 20.05 | 13.72 | 12.50 | 12.02 | 11.77 |
| EV / EBIT | 24.76 | 20.32 | 20.22 | 16.82 | 13.98 | 19.05 | 23.04 | 15.87 | 15.09 | 15.33 | 14.84 |
| EV / FCF | — | 38.33 | 34.26 | 27.50 | 28.60 | 43.36 | 25.87 | 24.90 | 21.57 | 19.18 | 22.40 |
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 | 39.1% | 39.1% | 39.0% | 39.4% | 38.4% | 36.2% | 35.9% | 38.3% | 38.7% | 39.3% | 40.6% |
| Operating Margin | 15.0% | 15.0% | 15.4% | 15.6% | 14.5% | 11.9% | 8.6% | 11.0% | 10.3% | 10.1% | 11.0% |
| Net Profit Margin | 9.5% | 9.5% | 11.1% | 11.1% | 10.2% | 8.0% | 5.9% | 7.4% | 7.0% | 5.6% | 6.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 43.5% | 43.5% | 53.4% | 59.2% | 63.2% | 49.0% | 33.5% | 40.9% | 39.9% | 31.4% | 28.5% |
| ROA | 19.2% | 19.2% | 22.5% | 23.2% | 21.8% | 16.2% | 11.3% | 14.3% | 13.4% | 10.2% | 10.5% |
| ROIC | 32.1% | 32.1% | 34.7% | 36.1% | 33.9% | 26.4% | 19.0% | 24.6% | 22.8% | 20.4% | 21.2% |
| ROCE | 39.7% | 39.7% | 41.1% | 43.1% | 41.6% | 31.2% | 22.2% | 29.0% | 26.7% | 25.1% | 27.7% |
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 | 0.76 | 0.76 | 0.86 | 0.80 | 0.99 | 1.28 | 1.25 | 1.08 | 1.06 | 1.28 | 1.18 |
| Debt / EBITDA | 1.07 | 1.07 | 1.11 | 0.99 | 1.12 | 1.59 | 2.19 | 1.49 | 1.57 | 1.79 | 1.64 |
| Net Debt / Equity | — | 0.62 | 0.58 | 0.61 | 0.87 | 1.17 | 0.97 | 0.90 | 0.80 | 1.10 | 1.04 |
| Net Debt / EBITDA | 0.88 | 0.88 | 0.75 | 0.75 | 0.99 | 1.45 | 1.70 | 1.24 | 1.19 | 1.54 | 1.44 |
| Debt / FCF | — | 1.94 | 1.37 | 1.32 | 2.21 | 3.70 | 2.19 | 2.26 | 2.06 | 2.46 | 2.75 |
| Interest Coverage | 31.00 | 31.00 | 34.56 | 27.88 | 23.70 | 17.84 | 11.18 | 16.30 | 13.28 | 11.52 | 14.28 |
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 | 2.83 | 2.83 | 2.49 | 2.88 | 2.48 | 2.63 | 2.72 | 2.12 | 2.37 | 2.13 | 1.85 |
| Quick Ratio | 1.59 | 1.59 | 1.49 | 1.64 | 1.36 | 1.40 | 1.52 | 1.13 | 1.34 | 1.18 | 0.99 |
| Cash Ratio | 0.30 | 0.30 | 0.45 | 0.36 | 0.16 | 0.16 | 0.41 | 0.21 | 0.36 | 0.22 | 0.17 |
| Asset Turnover | — | 2.00 | 1.94 | 2.02 | 2.01 | 1.98 | 1.87 | 1.91 | 1.91 | 1.80 | 1.78 |
| Inventory Turnover | 4.57 | 4.57 | 4.54 | 4.41 | 4.16 | 4.44 | 4.36 | 4.28 | 4.46 | 4.43 | 4.28 |
| Days Sales Outstanding | — | 47.38 | 47.45 | 48.55 | 51.13 | 49.16 | 45.61 | 45.28 | 45.05 | 46.39 | 44.04 |
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 | 0.7% | 1.0% | 0.8% | 0.9% | 1.3% | 1.3% | 1.5% | 1.8% | 2.0% | 2.2% | 2.1% |
| Payout Ratio | 27.4% | 27.4% | 22.1% | 21.4% | 23.9% | 34.2% | 48.6% | 38.6% | 40.4% | 51.9% | 50.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 2.6% | 3.5% | 3.7% | 4.4% | 5.4% | 3.9% | 3.2% | 4.6% | 4.9% | 4.2% | 4.2% |
| FCF Yield | 2.1% | 2.7% | 3.0% | 3.8% | 3.8% | 2.5% | 4.2% | 4.4% | 5.1% | 6.0% | 5.1% |
| Buyback Yield | 1.6% | 2.2% | 2.3% | 2.0% | 2.1% | 2.6% | 2.7% | 3.8% | 2.7% | 4.4% | 5.6% |
| Total Shareholder Yield | 2.3% | 3.1% | 3.1% | 3.0% | 3.4% | 3.9% | 4.3% | 5.5% | 4.6% | 6.6% | 7.7% |
| Shares Outstanding | — | $48M | $49M | $50M | $51M | $52M | $54M | $55M | $57M | $58M | $61M |
Margin dilution from digital
With a TTM P/E of 38.24, GWW trades at a significant premium to its historical averages and industrial peers, suggesting that investors are pricing in sustained digital leadership and the defensive moat provided by its integrated MRO procurement workflows rather than mere transactional distribution growth.
The current valuation implies high expectations for long-term earnings compounding, which may be difficult to sustain if industrial production cycles soften. While the PEG ratio of 1.72 indicates a growth-adjusted premium, the market appears to be rewarding the company's transition toward a tech-enabled logistics hybrid.
According to recent financial statements, GWW has maintained a consistent ROIC trend, peaking at 9.2% in 2024Q3, which underscores the company's ability to generate returns above its cost of capital despite the inherent capital intensity of managing a massive, multi-segment distribution network.
The stability in ROIC suggests that management is effectively balancing investments in automation with the need to maintain high-touch service levels. Investors should monitor whether the expansion of the Endless Assortment segment, which carries different capital requirements, begins to exert downward pressure on these returns.
Based on reported figures, the cash conversion cycle has fluctuated between 85 and 99 days over the last ten quarters, reflecting the inherent tension between maintaining high inventory availability for critical MRO parts and the operational goal of optimizing working capital turnover across diverse segments.
The DIO of 76 to 84 days indicates a deliberate strategy to prioritize product availability, which is a key component of the company's competitive moat. However, any sustained increase in the CCC could signal inefficiencies in inventory management as the Endless Assortment segment scales its SKU count.
As reported in recent SEC filings, GWW maintains a disciplined debt-to-equity ratio of 0.64, providing a robust buffer that allows the company to navigate industrial downturns while simultaneously funding aggressive share repurchase programs that have become a hallmark of its capital allocation strategy.
The interest coverage ratio, consistently exceeding 30x, indicates that debt service is not a material risk to the company's operational stability. This conservative posture provides significant optionality for future strategic investments, though it may also suggest a missed opportunity to leverage the balance sheet for inorganic growth.
The price-to-sales ratio is frequently misapplied to GWW, as it fails to account for the structural shift in revenue mix between the high-margin High-Touch segment and the lower-margin Endless Assortment business, which can distort the perceived value of the company's total revenue growth.
Investors should instead focus on segment-level operating margins and return on invested capital to assess the true quality of earnings. Relying on a consolidated P/S multiple obscures the underlying margin expansion potential of the digital-first segment and the defensive pricing power inherent in the core business.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying GWW stock.
W.W. Grainger, Inc.'s current P/E ratio is 38.3x. The historical average is 21.4x. This places it at the 100th percentile of its historical range.
W.W. Grainger, Inc.'s current EV/EBITDA is 22.6x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 11.7x.
W.W. Grainger, Inc.'s return on equity (ROE) is 43.5%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 27.2%.
Based on historical data, W.W. Grainger, Inc. is trading at a P/E of 38.3x. This is at the 100th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
W.W. Grainger, Inc.'s current dividend yield is 0.72% with a payout ratio of 27.4%.
W.W. Grainger, Inc. has 39.1% gross margin and 15.0% operating margin. Operating margin between 10-20% is typical for established companies.
W.W. Grainger, Inc.'s Debt/EBITDA ratio is 1.1x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.