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ZIPZipRecruiter, Inc.
$3.93$339M
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  4. Financial Ratios

ZipRecruiter, Inc. (ZIP) Financial Ratios

Latest Ratios: P/E Ratio -10.6x · EV/EBITDA N/A · ROE N/A. (2019–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

ZIP 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 2019
Market Cap$339M$350M$714M$1.5B$2.0B$2.9B——
Enterprise Value$719M$731M$1.0B$1.7B$2.3B$2.7B——
P/E Ratio →-10.62——30.2232.201511.52——
P/S Ratio0.760.781.512.282.203.98——
P/B Ratio——53.15175.7869.6512.55——
P/FCF34.3135.4715.9314.3816.8622.54——
P/OCF30.9431.9815.6114.2515.4820.46——

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

ZIP EV Ratios

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

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
EV / Revenue—1.632.212.702.573.67——
EV / EBITDA——77.3319.1421.552538.79——
EV / EBIT——45.3717.4422.67———
EV / FCF—73.9723.3917.0419.6720.79——

ZIP 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 2019
Gross Margin89.2%89.2%89.4%90.0%90.5%89.3%87.0%87.2%
Operating Margin-4.3%-4.3%0.3%12.3%10.7%-1.1%15.4%-1.5%
Net Profit Margin-7.3%-7.3%-2.7%7.6%6.8%0.5%20.6%-1.5%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
ROE——-118.0%265.5%46.7%3.9%——
ROA-5.3%-5.3%-1.9%7.1%11.0%1.2%52.2%-5.4%
ROIC-4.5%-4.5%0.3%18.6%39.8%-111.7%——
ROCE-3.6%-3.6%0.2%13.7%23.1%-4.2%70.7%-15.2%

ZIP Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Debt / Equity——41.1666.4319.570.11——
Debt / EBITDA——40.786.105.1923.610.6514.07
Net Debt / Equity——24.8932.6011.62-0.98——
Net Debt / EBITDA——24.672.993.08-214.13-0.780.54
Debt / FCF—38.507.462.672.81-1.75-0.77—
Interest Coverage-0.03-0.030.783.403.60-9.1363.04-9.02

ZIP Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Current Ratio6.336.336.666.634.882.172.030.93
Quick Ratio6.336.336.666.634.842.172.030.93
Cash Ratio5.775.776.206.134.401.781.600.47
Asset Turnover—0.790.710.981.271.861.973.65
Inventory Turnover————17.72———
Days Sales Outstanding—20.8718.0615.4017.9220.5218.3621.73

ZIP 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 2019
Dividend Yield————————
Payout Ratio————————

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Earnings Yield———3.3%3.1%0.1%——
FCF Yield2.9%2.8%6.3%7.0%5.9%4.4%——
Buyback Yield30.1%29.1%5.7%10.0%17.0%0.1%——
Total Shareholder Yield30.1%29.1%5.7%10.0%17.0%0.1%——
Shares Outstanding—$90M$99M$106M$121M$118M$109M$109M

Key Metrics

Growth RegimeContracting
ProfitabilityNegative
Balance SheetVulnerable
Cash FlowBurning
Top Statement Risk

Cyclical SMB Hiring Sensitivity

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q1)

Valuation Compression Amidst Cyclical Headwinds

As reported in recent financial statements, ZipRecruiter trades at a P/S ratio of 0.76, which appears to reflect the market's skepticism regarding the company's ability to return to growth, especially when compared to the higher multiples historically commanded by more diversified human capital management firms.

The negative TTM P/E of -10.65 highlights the lack of GAAP profitability, forcing investors to rely on forward EV/EBITDA projections of 20.02. This valuation suggests that the market is pricing the firm as a distressed asset rather than a growth-oriented technology platform, warranting caution given the persistent revenue contraction.

Capital Efficiency Decay and Erosion

Based on the provided quarterly data, ROIC has trended into negative territory, reaching -0.4% in 2026Q1, which indicates that the company is currently failing to generate returns on invested capital that exceed its cost of capital, a significant reversal from the 3.4% peak observed in 2023Q4.

The consistent decline in ROIC suggests that the company's aggressive marketing spend is not yielding the expected incremental returns. Investors should monitor whether this trend is structural or merely a byproduct of the current cyclical downturn in SMB hiring activity.

Working Capital and Asset Turnover

According to historical financial data, asset turnover has remained stagnant at approximately 0.19, suggesting that the company's ability to generate revenue from its asset base is limited and has not improved despite significant investments in its proprietary AI matching algorithm and platform infrastructure.

The lack of improvement in asset turnover implies that the business model is not scaling efficiently as it grows. The stability of the DSO around 20 days suggests that while collections are prompt, the underlying volume of business is insufficient to drive meaningful operational leverage.

Debt Service Risks and Flexibility

As evidenced by the latest quarterly filings, the company's interest coverage ratio has turned negative at -0.21, which indicates that the firm's ability to service its debt obligations from operating income is currently compromised, posing a potential risk to its long-term financial stability.

The absence of a clear path to positive interest coverage suggests that the company may face refinancing challenges if the current negative operating margin persists. The reliance on debt in a contracting revenue environment warrants close scrutiny of future covenant compliance.

Misapplication of Revenue Growth Metrics

The most commonly misapplied metric for ZipRecruiter is top-line revenue growth, which obscures the underlying cohort churn and the high cost of customer acquisition required to maintain the platform's marketplace liquidity in a highly competitive and cyclical small-to-medium business hiring environment.

Investors should instead focus on LTV/CAC ratios and net revenue retention, as simple revenue growth figures fail to account for the high churn inherent in the SMB segment. Relying on revenue growth alone risks overestimating the company's long-term earning power and its ability to achieve sustainable profitability.

Download Financial Ratios Data

Includes 30+ ratios · 7 years · Updated daily

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ZIP — Frequently Asked Questions

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

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

ZipRecruiter, Inc.'s current P/E ratio is -10.6x. The historical average is 31.2x.

Is ZIP stock overvalued?

Based on historical data, ZipRecruiter, Inc. is trading at a P/E of -10.6x. Compare with industry peers and growth rates for a complete picture.

What are ZipRecruiter, Inc.'s profit margins?

ZipRecruiter, Inc. has 89.2% gross margin and -4.3% operating margin.