Latest Ratios: P/E Ratio 10.3x · EV/EBITDA 5.8x · ROE 18.1%. (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 | $3.0B | $5.3B | $5.7B | $4.6B | $3.6B | $5.2B | $4.3B | $5.0B | $4.3B | $4.3B | $3.7B |
| Enterprise Value | $4.2B | $6.5B | $6.8B | $5.9B | $5.0B | $6.7B | $4.5B | $4.9B | $3.9B | $4.1B | $3.8B |
| P/E Ratio → | 10.32 | 16.58 | 18.67 | 28.40 | 17.59 | 17.82 | 20.18 | 20.77 | 19.42 | 20.35 | 21.03 |
| P/S Ratio | 0.55 | 0.97 | 1.08 | 0.94 | 0.77 | 1.22 | 1.25 | 1.73 | 1.79 | 1.74 | 1.56 |
| P/B Ratio | 1.97 | 3.16 | 3.11 | 2.75 | 2.31 | 3.51 | 3.49 | 4.01 | 3.95 | 4.51 | 4.97 |
| P/FCF | 8.16 | 14.45 | 14.28 | 20.52 | 15.35 | 10.79 | 21.25 | 17.28 | 14.44 | 13.61 | 28.03 |
| P/OCF | 6.96 | 12.33 | 11.12 | 14.60 | 12.37 | 10.03 | 17.71 | 14.04 | 13.26 | 12.64 | 20.81 |
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 | — | 1.19 | 1.28 | 1.20 | 1.07 | 1.58 | 1.29 | 1.70 | 1.64 | 1.67 | 1.59 |
| EV / EBITDA | 5.77 | 8.96 | 10.80 | 12.89 | 10.93 | 12.87 | 11.19 | 12.09 | 10.87 | 10.65 | 10.81 |
| EV / EBIT | 7.23 | 12.24 | 13.84 | 20.03 | 15.34 | 16.92 | 15.42 | 15.30 | 13.10 | 12.90 | 13.21 |
| EV / FCF | — | 17.69 | 16.88 | 26.36 | 21.20 | 14.02 | 21.86 | 16.91 | 13.24 | 13.04 | 28.67 |
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 | 23.0% | 23.0% | 21.9% | 19.0% | 18.3% | 21.2% | 19.5% | 20.5% | 24.4% | 24.5% | 22.8% |
| Operating Margin | 10.6% | 10.6% | 9.3% | 6.0% | 6.7% | 9.9% | 8.4% | 11.1% | 12.5% | 12.9% | 11.8% |
| Net Profit Margin | 5.9% | 5.9% | 5.8% | 3.3% | 4.4% | 6.8% | 6.2% | 8.3% | 9.2% | 8.5% | 7.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 18.1% | 18.1% | 17.5% | 10.1% | 13.5% | 21.4% | 17.2% | 20.6% | 21.7% | 24.7% | 26.0% |
| ROA | 7.8% | 7.8% | 7.6% | 4.1% | 5.0% | 9.5% | 11.4% | 15.0% | 15.7% | 15.5% | 13.6% |
| ROIC | 15.1% | 15.1% | 12.6% | 7.5% | 7.9% | 14.3% | 17.4% | 25.6% | 30.0% | 29.5% | 26.9% |
| ROCE | 17.4% | 17.4% | 14.9% | 9.1% | 9.5% | 17.5% | 20.5% | 24.9% | 27.0% | 30.9% | 29.3% |
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 | 0.86 | 0.86 | 0.69 | 0.86 | 0.97 | 1.15 | 0.17 | 0.01 | 0.00 | 0.00 | 0.22 |
| Debt / EBITDA | 2.00 | 2.00 | 2.04 | 3.12 | 3.32 | 3.26 | 0.54 | 0.02 | 0.00 | 0.00 | 0.47 |
| Net Debt / Equity | — | 0.71 | 0.57 | 0.78 | 0.88 | 1.05 | 0.10 | -0.09 | -0.33 | -0.19 | 0.11 |
| Net Debt / EBITDA | 1.64 | 1.64 | 1.66 | 2.86 | 3.02 | 2.96 | 0.31 | -0.26 | -0.98 | -0.47 | 0.24 |
| Debt / FCF | — | 3.23 | 2.60 | 5.84 | 5.86 | 3.23 | 0.61 | -0.37 | -1.20 | -0.57 | 0.64 |
| Interest Coverage | 6.29 | 6.29 | 5.93 | 3.50 | 7.03 | 27.02 | 140.42 | 108.31 | 300.21 | 146.34 | 70.17 |
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 | 1.64 | 1.64 | 1.49 | 1.46 | 1.33 | 1.37 | 1.66 | 2.17 | 2.91 | 2.08 | 1.82 |
| Quick Ratio | 1.64 | 1.64 | 1.49 | 1.46 | 1.33 | 1.37 | 1.66 | 2.17 | 2.91 | 2.08 | 1.82 |
| Cash Ratio | 0.34 | 0.34 | 0.29 | 0.17 | 0.18 | 0.20 | 0.16 | 0.32 | 1.36 | 0.57 | 0.24 |
| Asset Turnover | — | 1.33 | 1.28 | 1.23 | 1.16 | 1.03 | 1.71 | 1.65 | 1.64 | 1.81 | 1.78 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | 60.62 | 60.86 | 62.77 | 63.78 | 72.08 | 83.12 | 78.57 | 60.29 | 64.83 | 75.64 |
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 | 2.1% | 1.3% | 1.3% | 1.5% | 1.9% | 1.3% | 1.6% | 1.3% | 0.3% | 0.3% | 0.3% |
| Payout Ratio | 21.5% | 21.5% | 23.8% | 42.1% | 33.7% | 23.6% | 32.7% | 26.5% | 5.3% | 5.6% | 6.6% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 9.7% | 6.0% | 5.4% | 3.5% | 5.7% | 5.6% | 5.0% | 4.8% | 5.1% | 4.9% | 4.8% |
| FCF Yield | 12.3% | 6.9% | 7.0% | 4.9% | 6.5% | 9.3% | 4.7% | 5.8% | 6.9% | 7.3% | 3.6% |
| Buyback Yield | 15.0% | 8.5% | 1.3% | 0.2% | 2.7% | 0.1% | 3.9% | 0.9% | 1.6% | 0.7% | 0.9% |
| Total Shareholder Yield | 17.1% | 9.8% | 2.5% | 1.7% | 4.6% | 1.4% | 5.5% | 2.2% | 1.8% | 1.0% | 1.2% |
| Shares Outstanding | — | $58M | $61M | $61M | $62M | $62M | $63M | $65M | $66M | $66M | $66M |
Contract re-compete and labor inflation
Based on current market data, Maximus trades at a forward P/E of 6.46, which appears to discount the company's growth prospects significantly compared to federal IT peers like CACI, suggesting investors remain skeptical of the firm's ability to sustain margins amid shifting government contract dynamics.
The low valuation multiple relative to the broader government services sector implies that the market views Maximus as a legacy service provider rather than a high-growth technology consultant. This pricing suggests that any potential for multiple expansion is contingent upon the company demonstrating consistent margin improvement through its federal IT modernization initiatives.
As reported in recent financial statements, the company's ROIC has hovered between 2.7% and 3.8% over the last ten quarters, indicating that Maximus is struggling to generate meaningful returns on its invested capital base, which is heavily weighted toward goodwill from past strategic acquisitions.
The persistent gap between the company's ROIC and its cost of capital warrants further investigation into the efficacy of its M&A strategy. Investors should monitor whether the integration of recent acquisitions can eventually drive higher returns or if the capital-intensive nature of these deals will continue to dilute shareholder value.
According to quarterly filings, the company's asset turnover has remained stagnant at approximately 0.31 to 0.33, reflecting a business model that is structurally limited by the slow cash collection cycles inherent in large-scale, multi-year government contracts and complex administrative service delivery.
The lack of improvement in asset turnover suggests that the company has limited ability to optimize its working capital cycle without compromising service quality or contract compliance. This operational rigidity implies that the firm's efficiency is largely dictated by the payment terms of its government clients rather than internal process improvements.
Based on the 2026Q2 balance sheet, Maximus maintains a current ratio of 2.21, which provides a robust cushion against the lumpy cash flows and working capital swings that frequently characterize the company's performance-based government contract portfolio, ensuring sufficient liquidity for ongoing operational needs.
This liquidity position appears adequate to navigate potential contract re-compete risks or temporary delays in government funding cycles. However, the reliance on this buffer highlights the inherent volatility of the business model, as the company must maintain significant cash reserves to offset the timing mismatches between service delivery and payment.
The P/E ratio is frequently misapplied to Maximus, as it obscures the significant impact of non-operating adjustments and pass-through costs that distort net income, making EV/EBITDA a more reliable metric for assessing the company's underlying operational earning power and cash generation capabilities.
By focusing on P/E, investors may overlook the company's true cash-generating potential, which is often masked by the accounting nuances of long-term government projects. Analysts should prioritize EV/EBITDA to better understand the firm's valuation relative to its peers, as this metric effectively strips out the noise created by capital structure and non-recurring items.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying MMS stock.
Maximus, Inc.'s current P/E ratio is 10.3x. The historical average is 24.8x.
Maximus, Inc.'s current EV/EBITDA is 5.8x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 11.6x.
Maximus, Inc.'s return on equity (ROE) is 18.1%. The historical average is 20.4%.
Based on historical data, Maximus, Inc. is trading at a P/E of 10.3x. Compare with industry peers and growth rates for a complete picture.
Maximus, Inc.'s current dividend yield is 2.09% with a payout ratio of 21.5%.
Maximus, Inc. has 23.0% gross margin and 10.6% operating margin. Operating margin between 10-20% is typical for established companies.
Maximus, Inc.'s Debt/EBITDA ratio is 2.0x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.