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TREELendingTree, Inc.
$45.87$636M
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LendingTree, Inc. (TREE) Financial Ratios

Latest Ratios: P/E Ratio 4.3x · EV/EBITDA 9.5x · ROE 76.5%. (2006–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

TREE Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Market Cap$636M$747M$514M$392M$273M$1.7B$3.6B$4.4B$3.1B$4.7B$1.3B
Enterprise Value$990M$1.1B$952M$891M$887M$2.2B$4.1B$4.7B$3.4B$4.5B$1.2B
P/E Ratio →4.264.92———24.28—112.3932.05298.6447.14
P/S Ratio0.570.670.570.580.281.533.914.014.057.543.37
P/B Ratio2.252.604.723.161.313.759.7611.038.9415.805.59
P/FCF10.4712.3010.077.138.6618.70—35.8132.3151.3690.74
P/OCF8.6910.218.265.816.3513.4592.3330.8227.9647.1826.83

P/E links to full P/E history page with 30-year chart

TREE EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
EV / Revenue—0.991.061.330.901.984.514.294.407.333.13
EV / EBITDA9.5410.6113.83—70.1631.6967.5840.5538.3982.8020.64
EV / EBIT12.0513.4119.45104.94—9588.96—92.5559.92138.3023.08
EV / FCF—18.1418.6516.2028.1324.24—38.2935.1449.9384.36

TREE Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Gross Margin94.3%94.3%96.0%94.2%94.1%94.8%94.0%93.8%95.2%97.2%96.4%
Operating Margin7.3%7.3%5.0%-6.0%-3.3%0.7%-0.7%4.6%7.3%5.4%13.6%
Net Profit Margin13.5%13.5%-4.6%-18.2%-19.1%6.3%-5.3%1.6%12.6%2.5%7.2%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE76.5%76.5%-35.8%-73.7%-57.3%17.0%-12.6%4.8%30.1%5.9%11.6%
ROA18.6%18.6%-5.3%-12.2%-15.0%5.6%-4.5%1.9%12.1%3.1%8.8%
ROIC9.0%9.0%4.8%-3.3%-2.1%0.5%-0.5%5.1%6.7%6.5%16.5%
ROCE13.2%13.2%7.1%-4.4%-3.1%0.8%-0.7%7.5%9.5%8.2%20.8%

TREE Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity1.521.525.004.924.391.671.940.911.090.81—
Debt / EBITDA4.194.197.91—72.2210.9011.693.144.294.36—
Net Debt / Equity—1.234.024.022.951.111.480.760.78-0.44-0.39
Net Debt / EBITDA3.413.416.36—48.577.258.892.633.09-2.38-1.56
Debt / FCF—5.848.579.0719.475.54—2.482.83-1.44-6.39
Interest Coverage1.751.751.76—-1.090.00-0.172.534.524.6692.93

TREE Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio1.751.750.992.605.021.362.650.820.892.972.11
Quick Ratio1.751.750.992.605.021.362.650.820.892.972.11
Cash Ratio0.590.590.441.483.620.921.520.260.402.501.37
Asset Turnover—1.311.170.840.820.850.771.170.850.891.18
Inventory Turnover———————————
Days Sales Outstanding———————————

TREE Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Dividend Yield———————————
Payout Ratio———————————

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield23.5%20.3%———4.1%—0.9%3.1%0.3%2.1%
FCF Yield9.5%8.1%9.9%14.0%11.6%5.3%—2.8%3.1%1.9%1.1%
Buyback Yield0.0%——————————
Total Shareholder Yield0.0%——————————
Shares Outstanding—$14M$13M$13M$13M$14M$13M$15M$14M$14M$13M

Key Metrics

Growth RegimeMixed
ProfitabilityStrained
Balance SheetStrained
Cash FlowMixed
Top Statement Risk

Marketing spend efficiency volatility

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q1)

Market Pricing Reflects Cyclical Uncertainty

Based on current market data, LendingTree trades at a trailing P/E of 3.77 and a P/S of 0.50, suggesting that investors are heavily discounting the company's future earnings potential due to the inherent volatility of its mortgage-dependent lead generation model compared to broader financial services peers.

The low valuation multiples appear to reflect a market skepticism regarding the sustainability of the company's earnings in a high-interest-rate environment. This pricing suggests that the market views LendingTree more as a cyclical advertising play than a stable fintech platform, warranting caution regarding potential multiple compression if growth fails to materialize.

Capital Efficiency Remains Under Pressure

As reported in financial statements, LendingTree's ROIC has struggled to maintain positive momentum, fluctuating between -0.8% and 3.4% over the last ten quarters, which indicates that the company is currently failing to generate returns on invested capital that exceed its likely cost of capital.

The persistent weakness in ROIC suggests that the company's historical M&A strategy has not yet yielded the expected synergies or operational efficiencies. Investors should monitor whether the pivot toward the 'My LendingTree' membership model can improve these returns by reducing the reliance on expensive, low-margin customer acquisition channels.

Working Capital Volatility Hinders Operations

According to recent SEC filings, LendingTree's asset turnover has remained consistently low, hovering near 0.3x, which highlights the structural challenge of maintaining an efficient asset base while managing the high-intensity marketing spend required to drive traffic through its digital marketplace platform.

The lack of improvement in asset turnover suggests that the company's capital is tied up in intangible assets and goodwill rather than productive, revenue-generating infrastructure. This inefficiency implies that the company may be over-investing in customer acquisition relative to the actual lifetime value of the leads generated.

Debt Service Capacity Remains Fragile

Based on reported figures, LendingTree's interest coverage ratio has shown extreme instability, ranging from 0.98 to 8.14 over the past ten quarters, indicating that the company's ability to service its debt obligations is highly sensitive to quarterly fluctuations in operating income and market demand.

The high debt-to-equity ratio, which peaked at 5.82 in 2024Q3, suggests that the company's balance sheet remains vulnerable to further interest rate shocks or operational downturns. This leverage profile warrants close monitoring, as any further contraction in operating margins could severely limit the company's financial flexibility and refinancing options.

Gross Margin Obscures Unit Economics

While LendingTree reports a headline gross margin of approximately 96%, this metric is frequently misapplied by investors as a proxy for profitability, failing to account for the massive customer acquisition costs that are classified as operating expenses rather than direct costs of goods sold.

By ignoring the variable marketing expenses that are essential to generating revenue, the gross margin significantly overstates the company's true earning power. Analysts should instead focus on the Variable Marketing Margin (VMM) to gain a more accurate understanding of the company's underlying unit economics and its ability to scale profitably.

Download Financial Ratios Data

Includes 30+ ratios · 20 years · Updated daily

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TREE — Frequently Asked Questions

Quick answers to the most common questions about buying TREE stock.

What is LendingTree, Inc.'s P/E ratio?

LendingTree, Inc.'s current P/E ratio is 4.3x. The historical average is 43.6x.

What is LendingTree, Inc.'s EV/EBITDA?

LendingTree, Inc.'s current EV/EBITDA is 9.5x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 43.8x.

What is LendingTree, Inc.'s ROE?

LendingTree, Inc.'s return on equity (ROE) is 76.5%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is -12.9%.

Is TREE stock overvalued?

Based on historical data, LendingTree, Inc. is trading at a P/E of 4.3x. Compare with industry peers and growth rates for a complete picture.

What are LendingTree, Inc.'s profit margins?

LendingTree, Inc. has 94.3% gross margin and 7.3% operating margin.

How much debt does LendingTree, Inc. have?

LendingTree, Inc.'s Debt/EBITDA ratio is 4.2x, indicating high leverage. A ratio above 4x may signal elevated financial risk.