Latest Ratios: P/E Ratio 10.0x · EV/EBITDA 6.7x · ROE 16.4%. (1995–2025 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 | $5.9B | $7.2B | $11.1B | $13.2B | $12.8B | $20.3B | $18.7B | $10.0B | $6.9B | $5.7B | $4.2B |
| Enterprise Value | $5.6B | $6.9B | $11.2B | $13.5B | $13.0B | $20.9B | $19.1B | $10.4B | $7.1B | $5.8B | $4.5B |
| P/E Ratio → | 10.00 | 11.69 | 25.12 | 39.04 | 48.08 | 101.88 | 95.15 | 53.87 | 42.94 | 39.79 | 35.81 |
| P/S Ratio | 1.99 | 2.43 | 4.07 | 5.56 | 5.86 | 10.57 | 11.35 | 6.37 | 4.74 | 4.29 | 4.13 |
| P/B Ratio | 1.58 | 1.85 | 3.09 | 3.94 | 4.18 | 7.16 | 7.22 | 4.44 | 3.40 | 3.26 | 2.78 |
| P/FCF | 8.34 | 10.18 | 15.18 | 27.70 | 32.13 | 51.47 | 44.84 | 32.14 | 20.58 | 17.47 | 22.80 |
| P/OCF | 8.12 | 9.91 | 13.36 | 23.55 | 26.64 | 43.98 | 38.94 | 26.81 | 17.27 | 14.47 | 19.05 |
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 | — | 2.36 | 4.10 | 5.67 | 5.97 | 10.86 | 11.56 | 6.60 | 4.89 | 4.38 | 4.44 |
| EV / EBITDA | 6.68 | 8.22 | 14.92 | 22.39 | 25.46 | 46.56 | 44.93 | 25.23 | 19.91 | 19.02 | 21.25 |
| EV / EBIT | 8.75 | 9.86 | 20.41 | 29.24 | 37.33 | 81.35 | 74.84 | 41.06 | 34.50 | 40.05 | 30.78 |
| EV / FCF | — | 9.87 | 15.29 | 28.27 | 32.75 | 52.86 | 45.69 | 33.29 | 21.22 | 17.83 | 24.47 |
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 | 66.4% | 66.4% | 66.7% | 67.7% | 68.7% | 67.5% | 65.9% | 66.2% | 65.6% | 64.8% | 66.7% |
| Operating Margin | 21.9% | 21.9% | 20.0% | 18.3% | 15.4% | 13.7% | 14.7% | 15.2% | 13.7% | 11.3% | 13.2% |
| Net Profit Margin | 20.8% | 20.8% | 16.2% | 14.2% | 12.2% | 10.4% | 11.9% | 11.8% | 11.0% | 10.8% | 11.5% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 16.4% | 16.4% | 12.7% | 10.6% | 9.0% | 7.3% | 8.1% | 8.7% | 8.5% | 8.8% | 8.0% |
| ROA | 11.8% | 11.8% | 8.5% | 6.8% | 5.6% | 4.5% | 5.0% | 5.5% | 5.3% | 5.2% | 5.2% |
| ROIC | 13.2% | 13.2% | 11.2% | 9.4% | 7.5% | 6.3% | 6.5% | 7.4% | 7.2% | 6.1% | 6.9% |
| ROCE | 16.1% | 16.1% | 14.0% | 11.3% | 9.4% | 8.0% | 8.3% | 9.1% | 8.1% | 6.7% | 7.4% |
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 | 0.04 | 0.04 | 0.16 | 0.23 | 0.25 | 0.33 | 0.31 | 0.26 | 0.23 | 0.26 | 0.31 |
| Debt / EBITDA | 0.19 | 0.19 | 0.75 | 1.30 | 1.52 | 2.07 | 1.88 | 1.43 | 1.29 | 1.46 | 2.19 |
| Net Debt / Equity | — | -0.06 | 0.02 | 0.08 | 0.08 | 0.19 | 0.14 | 0.16 | 0.11 | 0.07 | 0.20 |
| Net Debt / EBITDA | -0.26 | -0.26 | 0.11 | 0.45 | 0.48 | 1.22 | 0.83 | 0.88 | 0.60 | 0.39 | 1.45 |
| Debt / FCF | — | -0.31 | 0.11 | 0.57 | 0.62 | 1.39 | 0.85 | 1.16 | 0.64 | 0.37 | 1.67 |
| Interest Coverage | — | — | 104.20 | 56.40 | 36.02 | 7.70 | 10.70 | 10.94 | 9.39 | 5.98 | 66.55 |
Net cash position: cash ($379M) exceeds total debt ($164M)
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 | 1.55 | 1.55 | 1.70 | 2.06 | 2.12 | 1.81 | 1.86 | 0.93 | 1.38 | 1.32 | 1.08 |
| Quick Ratio | 1.55 | 1.55 | 1.70 | 2.06 | 2.12 | 1.81 | 1.86 | 0.93 | 1.37 | 1.31 | 1.07 |
| Cash Ratio | 0.47 | 0.47 | 1.10 | 1.26 | 1.38 | 1.12 | 1.40 | 0.47 | 0.78 | 0.75 | 0.40 |
| Asset Turnover | — | 0.58 | 0.52 | 0.46 | 0.45 | 0.41 | 0.39 | 0.44 | 0.45 | 0.47 | 0.39 |
| Inventory Turnover | — | — | — | — | — | — | — | 156.91 | 144.68 | 52.00 | 71.61 |
| Days Sales Outstanding | — | 91.45 | 86.50 | 89.83 | 86.91 | 76.11 | 68.42 | 75.73 | 81.16 | 71.32 | 103.44 |
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 | — | — | — | — | — | — | — | — | — | 0.2% | 0.9% |
| Payout Ratio | — | — | — | — | — | — | — | — | — | 6.7% | 32.7% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 10.0% | 8.6% | 4.0% | 2.6% | 2.1% | 1.0% | 1.1% | 1.9% | 2.3% | 2.5% | 2.8% |
| FCF Yield | 12.0% | 9.8% | 6.6% | 3.6% | 3.1% | 1.9% | 2.2% | 3.1% | 4.9% | 5.7% | 4.4% |
| Buyback Yield | 8.4% | 6.9% | 3.3% | 2.2% | 1.1% | 0.4% | 0.3% | 0.5% | 0.4% | 0.4% | 1.0% |
| Total Shareholder Yield | 8.4% | 6.9% | 3.3% | 2.2% | 1.1% | 0.4% | 0.3% | 0.5% | 0.4% | 0.6% | 1.9% |
| Shares Outstanding | — | $63M | $66M | $66M | $66M | $67M | $66M | $65M | $63M | $62M | $61M |
Leadership transition and AI competition
Based on current market data, NICE trades at a forward P/E of 8.29 and an EV/EBITDA of 4.32, which suggests that investors are pricing in significant growth deceleration compared to historical premiums typically afforded to high-retention SaaS providers in the enterprise software sector.
The compressed valuation multiples indicate that the market may be discounting the company's ability to sustain double-digit growth as it navigates the transition to consumption-based AI pricing. This valuation appears to reflect a defensive stance, potentially ignoring the long-term durability of the company's regulatory-driven revenue streams.
As reported in financial statements, NICE's ROIC has remained stagnant in the 2.6% to 3.7% range over the last ten quarters, indicating that the company is struggling to generate meaningful incremental returns on its invested capital despite its dominant position in the financial compliance market.
The low ROIC suggests that the heavy R&D and cloud infrastructure investments required to maintain the Enlighten AI engine are currently outpacing the returns generated by new product adoption. Investors should monitor whether this trend reverses as the company scales its AI-integrated platform or if it indicates a permanent shift toward lower capital efficiency.
According to recent quarterly filings, NICE's Days Sales Outstanding (DSO) has hovered around 80-88 days, which, when compared to industry peers, suggests that the company may be experiencing extended collection cycles that could be pressuring its short-term cash conversion efficiency and overall liquidity position.
The persistence of high DSO levels warrants further investigation into whether this reflects a shift in customer payment terms or a potential deterioration in the credit quality of the enterprise client base. Such inefficiencies may be masking the true underlying cash generation capacity of the core software business.
Based on the provided figures, NICE maintains a current ratio of 1.22 as of 2026Q1, which, while lower than historical peaks, continues to provide a sufficient buffer to meet short-term obligations despite the company's aggressive capital allocation strategy toward share repurchases and ongoing cloud infrastructure investments.
The company's minimal debt-to-equity ratio of 0.02% provides a significant margin of safety, allowing it to navigate potential operational disruptions without the burden of interest coverage risks. This liquidity profile appears robust enough to support the company through the current leadership transition and competitive AI-driven market shifts.
The most commonly misapplied metric for NICE is the traditional seat-based revenue growth rate, which obscures the company's strategic shift toward consumption-based AI pricing and may lead analysts to underestimate the long-term durability of its earnings in an increasingly automated enterprise software landscape.
Investors should instead focus on Remaining Performance Obligations (RPO) and Annual Recurring Revenue (ARR) to gauge the true health of the sales pipeline, as these metrics better capture the value of the company's evolving business model. Relying on seat counts may lead to an inaccurate assessment of the company's competitive positioning against AI-native entrants.
Includes 30+ ratios · 29 years · Updated daily
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Quick answers to the most common questions about buying NICE stock.
NICE Ltd.'s current P/E ratio is 10.0x. The historical average is 43.1x.
NICE Ltd.'s current EV/EBITDA is 6.7x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 21.7x.
NICE Ltd.'s return on equity (ROE) is 16.4%. The historical average is 6.0%.
Based on historical data, NICE Ltd. is trading at a P/E of 10.0x. Compare with industry peers and growth rates for a complete picture.
NICE Ltd. has 66.4% gross margin and 21.9% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
NICE Ltd.'s Debt/EBITDA ratio is 0.2x, indicating low leverage. A ratio below 2x is generally considered financially healthy.