Latest Ratios: P/E Ratio -5.7x · EV/EBITDA N/A · ROE -42.1%. (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 | $369M | $285M | $736M | $910M | $1.2B | $919M | $1.1B | $652M | $372M | $254M | $148M |
| Enterprise Value | $339M | $255M | $727M | $854M | $1.2B | $883M | $1.1B | $641M | $363M | $248M | $140M |
| P/E Ratio → | -5.68 | — | 73.98 | 90.80 | 100.08 | 94.26 | 119.16 | 75.23 | 41.70 | 43.94 | 29.72 |
| P/S Ratio | 4.66 | 3.60 | 10.51 | 15.28 | 23.11 | 19.78 | 26.56 | 19.19 | 12.55 | 10.52 | 7.43 |
| P/B Ratio | 2.94 | 2.28 | 4.03 | 5.35 | 6.99 | 5.54 | 7.08 | 17.30 | 11.67 | 9.84 | 6.53 |
| P/FCF | 21.21 | 16.36 | 57.70 | 51.78 | 89.45 | 62.82 | 132.64 | 67.34 | 53.52 | 47.76 | 35.49 |
| P/OCF | 20.38 | 15.71 | 55.25 | 41.66 | 69.61 | 47.85 | 101.22 | 56.03 | 40.10 | 36.93 | 27.39 |
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 | — | 3.22 | 10.38 | 14.34 | 22.18 | 19.01 | 25.40 | 18.86 | 12.24 | 10.26 | 7.03 |
| EV / EBITDA | — | — | 61.60 | 67.98 | 64.69 | 59.50 | 72.51 | 47.81 | 27.88 | 23.83 | 15.31 |
| EV / EBIT | — | 39.22 | 58.55 | 92.59 | 79.11 | 79.52 | 92.76 | 60.69 | 35.25 | 29.93 | 19.39 |
| EV / FCF | — | 14.62 | 56.97 | 48.58 | 85.84 | 60.38 | 126.84 | 66.16 | 52.16 | 46.59 | 33.57 |
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 | 58.4% | 58.4% | 61.6% | 80.5% | 79.9% | 77.2% | 74.4% | 73.4% | 73.1% | 73.9% | 77.0% |
| Operating Margin | -89.3% | -89.3% | 8.8% | 14.6% | 27.7% | 24.2% | 27.9% | 31.3% | 34.7% | 34.2% | 36.2% |
| Net Profit Margin | -81.7% | -81.7% | 14.2% | 16.7% | 23.2% | 21.1% | 22.4% | 25.3% | 30.1% | 24.0% | 24.8% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | -42.1% | -42.1% | 5.6% | 5.7% | 7.3% | 6.1% | 9.6% | 24.7% | 31.0% | 23.8% | 23.4% |
| ROA | -38.1% | -38.1% | 5.0% | 5.2% | 6.7% | 5.6% | 8.6% | 19.0% | 21.6% | 17.5% | 17.9% |
| ROIC | -39.6% | -39.6% | 3.2% | 5.4% | 8.7% | 7.1% | 13.0% | 32.8% | 36.7% | 36.2% | 42.2% |
| ROCE | -44.1% | -44.1% | 3.3% | 4.8% | 8.5% | 6.7% | 11.3% | 26.4% | 27.2% | 26.6% | 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 | 0.00 | 0.00 | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 | — | — | — | — |
| Debt / EBITDA | — | — | 0.09 | 0.10 | 0.08 | 0.09 | 0.06 | — | — | — | — |
| Net Debt / Equity | — | -0.24 | -0.05 | -0.33 | -0.28 | -0.22 | -0.31 | -0.30 | -0.29 | -0.24 | -0.35 |
| Net Debt / EBITDA | — | — | -0.79 | -4.48 | -2.71 | -2.41 | -3.31 | -0.85 | -0.72 | -0.60 | -0.88 |
| Debt / FCF | — | -1.74 | -0.73 | -3.20 | -3.60 | -2.44 | -5.80 | -1.18 | -1.35 | -1.17 | -1.92 |
| Interest Coverage | — | — | — | — | — | 504.86 | — | — | — | 216.78 | — |
Net cash position: cash ($31M) exceeds total debt ($616000)
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 | 7.67 | 7.67 | 3.26 | 10.88 | 18.98 | 12.04 | 23.45 | 4.42 | 3.69 | 6.20 | 6.08 |
| Quick Ratio | 7.67 | 7.67 | 3.26 | 10.81 | 18.80 | 11.95 | 23.28 | 4.26 | 3.63 | 5.98 | 5.71 |
| Cash Ratio | 4.81 | 4.81 | 1.68 | 9.63 | 16.58 | 10.68 | 21.08 | 2.39 | 1.95 | 3.04 | 3.78 |
| Asset Turnover | — | 0.60 | 0.34 | 0.31 | 0.28 | 0.26 | 0.24 | 0.74 | 0.67 | 0.63 | 0.72 |
| Inventory Turnover | — | — | — | 14.47 | 7.78 | 10.47 | 10.98 | 11.80 | 25.57 | 13.64 | 5.87 |
| Days Sales Outstanding | — | 67.38 | 47.63 | 62.50 | 93.35 | 102.52 | 92.28 | 88.75 | 92.28 | 83.62 | 67.69 |
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% | 0.5% | 0.4% | 0.5% | 0.4% | 0.6% | 1.1% | 1.4% | 2.3% |
| Payout Ratio | — | — | 48.2% | 48.3% | 38.8% | 49.2% | 45.5% | 48.9% | 46.6% | 59.6% | 69.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | 1.4% | 1.1% | 1.0% | 1.1% | 0.8% | 1.3% | 2.4% | 2.3% | 3.4% |
| FCF Yield | 4.7% | 6.1% | 1.7% | 1.9% | 1.1% | 1.6% | 0.8% | 1.5% | 1.9% | 2.1% | 2.8% |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 2.2% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Total Shareholder Yield | 0.0% | 0.0% | 0.7% | 2.7% | 0.4% | 0.5% | 0.4% | 0.6% | 1.1% | 1.4% | 2.3% |
| Shares Outstanding | — | $20M | $20M | $20M | $21M | $21M | $19M | $18M | $18M | $18M | $17M |
Regulatory dependency and margin volatility
According to current market data, SLP trades at a forward P/E of 20.98, which appears to reflect investor optimism regarding long-term regulatory integration despite the company's recent negative trailing earnings and the significant volatility observed in its historical valuation multiples over the past ten quarters.
The forward P/E multiple suggests that the market is pricing in a recovery to historical profitability levels, effectively looking past the recent bottom-line collapse. Investors should monitor whether this valuation premium is justified by the company's unique regulatory moat or if it represents an over-reliance on the assumption that software licensing will eventually dominate the revenue mix.
Based on reported financial figures, SLP's ROIC has experienced significant degradation, falling from a peak of 4.1% in 2026Q2 to negative levels in 2025Q3, which suggests that recent capital allocation decisions and acquisition-related costs have temporarily impaired the firm's ability to generate meaningful returns on invested capital.
The sharp decline in ROIC indicates that the company is struggling to maintain its historical compounding efficiency as it integrates new business segments. This trend warrants further investigation into whether the current capital base is being deployed effectively or if the firm is facing diminishing returns on its specialized human capital investments.
As reported in recent quarterly filings, the company's asset turnover ratio has remained consistently low, hovering near 0.10, which suggests that the firm's revenue generation is highly dependent on specialized, labor-intensive consulting projects rather than the rapid scaling of its core software licensing business model.
The variability in DSO, which reached 77 days in 2025Q4, implies that the company may face challenges in managing its customer payment cycles, potentially creating lumpy cash inflows. This inefficiency in working capital management appears to be a structural byproduct of the firm's hybrid software-and-services business model.
Based on an analysis of the firm's business model, the most commonly misapplied metric is the standard SaaS-based P/S ratio, which obscures the reality that a significant portion of SLP's revenue is derived from lower-margin, project-based consulting services rather than pure, high-margin recurring software subscriptions.
Investors often treat SLP as a pure-play software firm, ignoring the labor-intensive nature of its consulting segments that cap overall operating margins. A more appropriate analytical framework would involve adjusting for the software-to-service revenue mix to better understand the true scalability and underlying earning power of the business.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying SLP stock.
Simulations Plus, Inc.'s current P/E ratio is -5.7x. The historical average is 45.8x.
Simulations Plus, Inc.'s return on equity (ROE) is -42.1%. The historical average is 6.9%.
Based on historical data, Simulations Plus, Inc. is trading at a P/E of -5.7x. Compare with industry peers and growth rates for a complete picture.
Simulations Plus, Inc. has 58.4% gross margin and -89.3% operating margin.