Latest Ratios: P/E Ratio 67.8x · EV/EBITDA 53.2x · ROE 5.4%. (1998–2025 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 | $1.3B | $1.1B | $977M | $715M | $888M | $2.0B | $1.3B | $1.3B | $1.1B | $843M | $640M |
| Enterprise Value | $1.2B | $989M | $897M | $665M | $866M | $1.9B | $1.3B | $1.2B | $1.0B | $778M | $560M |
| P/E Ratio → | 67.76 | 53.53 | 160.93 | — | — | 260.25 | 138.75 | 54.85 | 90.84 | — | — |
| P/S Ratio | 4.36 | 3.57 | 3.55 | 2.74 | 3.03 | 6.90 | 5.30 | 4.96 | 4.62 | 3.99 | 3.25 |
| P/B Ratio | 3.49 | 2.76 | 2.74 | 2.21 | 2.41 | 5.35 | 3.41 | 3.16 | 2.98 | 2.67 | 2.13 |
| P/FCF | 31.66 | 25.91 | 14.73 | — | 38.04 | 29.89 | 24.93 | 27.99 | 26.82 | 34.78 | 21.94 |
| P/OCF | 26.26 | 21.50 | 13.64 | — | 27.61 | 27.56 | 21.43 | 23.67 | 21.99 | 26.81 | 16.56 |
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 | — | 3.28 | 3.26 | 2.55 | 2.95 | 6.68 | 5.20 | 4.88 | 4.43 | 3.68 | 2.85 |
| EV / EBITDA | 53.16 | 42.82 | 112.78 | — | 103.63 | 67.31 | 77.72 | 43.59 | 59.97 | 170.62 | — |
| EV / EBIT | 107.60 | 86.67 | — | — | — | 104.96 | 210.78 | 72.67 | 137.94 | — | — |
| EV / FCF | — | 23.79 | 13.52 | — | 37.10 | 28.91 | 24.47 | 27.50 | 25.70 | 32.09 | 19.21 |
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 | 80.7% | 80.7% | 80.6% | 80.2% | 81.6% | 81.7% | 82.0% | 82.1% | 82.2% | 81.3% | 81.8% |
| Operating Margin | 3.8% | 3.8% | -1.4% | -12.1% | -1.1% | 6.4% | 2.5% | 6.7% | 3.2% | -3.2% | -6.5% |
| Net Profit Margin | 6.7% | 6.7% | 2.2% | -8.3% | -0.1% | 2.7% | 3.9% | 9.0% | 5.0% | -3.5% | -4.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 5.4% | 5.4% | 1.8% | -6.2% | -0.0% | 2.1% | 2.5% | 5.9% | 3.5% | -2.4% | -2.8% |
| ROA | 3.1% | 3.1% | 1.0% | -3.6% | -0.0% | 1.2% | 1.6% | 4.0% | 2.3% | -1.7% | -2.0% |
| ROIC | 3.0% | 3.0% | -1.1% | -7.7% | -0.8% | 4.1% | 1.3% | 3.7% | 2.0% | -2.1% | -3.8% |
| ROCE | 2.5% | 2.5% | -0.9% | -7.1% | -0.7% | 3.8% | 1.3% | 3.8% | 1.9% | -1.9% | -3.7% |
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 | 0.04 | 0.04 | 0.05 | 0.06 | 0.07 | 0.07 | 0.08 | 0.05 | — | — | — |
| Debt / EBITDA | 0.74 | 0.74 | 2.30 | — | 2.89 | 0.97 | 1.80 | 0.68 | — | — | — |
| Net Debt / Equity | — | -0.23 | -0.23 | -0.15 | -0.06 | -0.18 | -0.06 | -0.05 | -0.12 | -0.21 | -0.27 |
| Net Debt / EBITDA | -3.81 | -3.81 | -10.12 | — | -2.64 | -2.29 | -1.48 | -0.77 | -2.61 | -14.30 | — |
| Debt / FCF | — | -2.12 | -1.21 | — | -0.94 | -0.98 | -0.46 | -0.48 | -1.12 | -2.69 | -2.73 |
| Interest Coverage | — | — | -16.47 | -160.81 | -16.13 | 91.13 | 32.63 | 136.43 | 66.58 | -74.96 | -109.91 |
Net cash position: cash ($105M) exceeds total debt ($17M)
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 | 1.63 | 1.63 | 1.90 | 2.43 | 2.05 | 1.93 | 2.42 | 1.77 | 3.03 | 2.31 | 3.13 |
| Quick Ratio | 1.57 | 1.57 | 1.82 | 2.32 | 1.98 | 1.86 | 2.32 | 1.66 | 2.87 | 2.14 | 2.93 |
| Cash Ratio | 1.33 | 1.33 | 1.64 | 2.13 | 1.82 | 1.74 | 2.16 | 1.41 | 2.67 | 1.87 | 2.65 |
| Asset Turnover | — | 0.45 | 0.44 | 0.46 | 0.46 | 0.45 | 0.40 | 0.42 | 0.44 | 0.45 | 0.46 |
| Inventory Turnover | 4.41 | 4.41 | 3.80 | 3.33 | 4.72 | 4.53 | 3.24 | 3.24 | 2.26 | 2.11 | 2.09 |
| Days Sales Outstanding | — | 42.35 | 22.34 | 28.31 | 22.08 | 16.81 | 24.60 | 32.74 | 26.73 | 27.89 | 36.03 |
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 | — | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 1.5% | 1.9% | 0.6% | — | — | 0.4% | 0.7% | 1.8% | 1.1% | — | — |
| FCF Yield | 3.2% | 3.9% | 6.8% | — | 2.6% | 3.3% | 4.0% | 3.6% | 3.7% | 2.9% | 4.6% |
| Buyback Yield | 0.8% | 1.0% | 0.1% | 8.8% | 6.7% | 2.7% | 3.4% | 2.0% | 0.4% | 0.0% | 3.4% |
| Total Shareholder Yield | 0.8% | 1.0% | 0.1% | 8.8% | 6.7% | 2.7% | 3.4% | 2.0% | 0.4% | 0.0% | 3.4% |
| Shares Outstanding | — | $45M | $43M | $43M | $45M | $48M | $48M | $49M | $48M | $43M | $44M |
Geopolitical and competitive pressure
Based on current market data, Radware trades at a forward P/E of 25.21, which appears to price in significant future earnings expansion as the company pivots toward a recurring cloud-first model, despite the current TTM P/E of 65.36 suggesting a high degree of near-term valuation sensitivity.
The disparity between trailing and forward multiples indicates that investors are discounting current operational inefficiencies in favor of anticipated margin expansion. This valuation level implies that the market expects a successful scaling of the SECaaS segment to justify the current premium relative to legacy hardware peers.
As reported in financial statements, Radware's ROIC has struggled to gain traction, hovering at a modest 1.2% in 2026Q1, which suggests that the company is currently failing to generate returns on invested capital that exceed its cost of capital during this intensive cloud-transition phase.
The low ROIC trend reflects the heavy reinvestment required for global scrubbing center infrastructure and R&D. Investors should monitor whether this metric improves as the cloud business achieves greater scale and the company moves past the peak of its capital-intensive transition period.
According to recent quarterly data, Radware's cash conversion cycle has remained elevated at 75 days in 2026Q1, driven largely by inventory days that consistently exceed 75, suggesting that the company's hardware-heavy legacy operations continue to weigh on overall working capital efficiency and liquidity management.
The persistent length of the CCC highlights the friction inherent in maintaining a dual-model business that requires both physical appliance inventory and cloud-based service delivery. A meaningful reduction in DIO will be necessary to improve cash flow velocity and demonstrate operational maturity in the cloud-first era.
Based on an analysis of Radware's business model, the P/E ratio is the most commonly misapplied metric, as it obscures the underlying cash-generative capacity of the firm's subscription-based transition by failing to account for the significant non-cash charges and lumpy hardware revenue recognition inherent in the current financials.
Investors should instead prioritize EV/Sales or EV/ARR to better capture the value of the recurring revenue stream, which is currently masked by the volatility of legacy appliance sales. Relying on P/E in this context may lead to an inaccurate assessment of the company's true earnings power and long-term growth trajectory.
Includes 30+ ratios · 28 years · Updated daily
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Quick answers to the most common questions about buying RDWR stock.
Radware Ltd.'s current P/E ratio is 67.8x. The historical average is 64.5x. This places it at the 67th percentile of its historical range.
Radware Ltd.'s current EV/EBITDA is 53.2x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 47.0x.
Radware Ltd.'s return on equity (ROE) is 5.4%. The historical average is -0.0%.
Based on historical data, Radware Ltd. is trading at a P/E of 67.8x. This is at the 67th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Radware Ltd. has 80.7% gross margin and 3.8% operating margin.
Radware Ltd.'s Debt/EBITDA ratio is 0.7x, indicating low leverage. A ratio below 2x is generally considered financially healthy.