Latest Ratios: P/E Ratio -18.5x · EV/EBITDA 28.6x · ROE -14.6%. (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 | $13.3B | $9.8B | $14.9B | $19.6B | $25.7B | $43.6B | $41.5B | $43.4B | $35.9B | $35.9B | $24.4B |
| Enterprise Value | $21.4B | $17.8B | $26.6B | $30.6B | $41.2B | $59.0B | $44.6B | $46.0B | $37.6B | $36.0B | $24.4B |
| P/E Ratio → | -18.55 | — | — | 7.39 | — | 33.93 | 37.67 | 43.33 | 22.16 | 59.85 | 4.92 |
| P/S Ratio | 1.15 | 0.87 | 1.40 | 1.89 | 2.55 | 3.59 | 3.55 | 3.82 | 3.24 | 3.39 | 2.40 |
| P/B Ratio | 2.17 | 1.61 | 2.12 | 2.31 | 4.36 | 4.78 | 4.75 | 5.49 | 4.57 | 3.94 | 2.95 |
| P/FCF | 13.32 | 30.35 | 26.60 | 15.16 | 44.60 | 28.48 | 35.79 | 30.82 | 26.46 | 32.67 | 26.13 |
| P/OCF | 15.76 | 11.60 | 14.59 | 11.33 | 21.21 | 19.62 | 22.21 | 20.63 | 17.82 | 20.93 | 14.77 |
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 | — | 1.59 | 2.50 | 2.95 | 4.09 | 4.85 | 3.82 | 4.05 | 3.39 | 3.40 | 2.40 |
| EV / EBITDA | 28.55 | 26.51 | 26.27 | 18.09 | — | 26.60 | 18.27 | 17.97 | 15.96 | 17.66 | 15.80 |
| EV / EBIT | — | — | 223.16 | 40.80 | — | 44.57 | 30.84 | 42.58 | 21.98 | 30.37 | 4.84 |
| EV / FCF | — | 55.23 | 47.51 | 23.72 | 71.48 | 38.51 | 38.45 | 32.69 | 27.68 | 32.78 | 26.11 |
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 | 30.1% | 30.1% | 37.5% | 40.1% | 35.3% | 38.9% | 39.3% | 41.9% | 42.9% | 42.3% | 40.5% |
| Operating Margin | -2.7% | -2.7% | 0.1% | 6.8% | -28.3% | 11.1% | 13.8% | 15.6% | 14.3% | 12.2% | 7.3% |
| Net Profit Margin | -8.5% | -8.5% | -6.1% | 25.6% | -24.2% | 10.6% | 9.4% | 8.8% | 13.9% | 5.7% | 48.9% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | -14.6% | -14.6% | -8.4% | 37.0% | -32.4% | 14.4% | 13.2% | 12.7% | 18.2% | 6.9% | 57.9% |
| ROA | -4.2% | -4.2% | -2.4% | 9.4% | -7.9% | 4.8% | 5.8% | 5.9% | 9.4% | 3.7% | 27.2% |
| ROIC | -1.4% | -1.4% | 0.1% | 2.6% | -9.3% | 5.6% | 10.9% | 13.3% | 12.7% | 11.0% | 5.2% |
| ROCE | -1.7% | -1.7% | 0.1% | 3.1% | -10.8% | 5.9% | 10.2% | 12.7% | 11.6% | 9.5% | 5.3% |
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 | 1.64 | 1.64 | 1.91 | 1.67 | 2.92 | 2.01 | 0.78 | 0.75 | 0.44 | 0.39 | 0.34 |
| Debt / EBITDA | 14.86 | 14.86 | 13.30 | 8.35 | — | 8.26 | 2.79 | 2.33 | 1.48 | 1.72 | 1.80 |
| Net Debt / Equity | — | 1.32 | 1.66 | 1.30 | 2.63 | 1.68 | 0.35 | 0.33 | 0.21 | 0.01 | -0.00 |
| Net Debt / EBITDA | 11.94 | 11.94 | 11.56 | 6.53 | — | 6.93 | 1.26 | 1.03 | 0.70 | 0.06 | -0.01 |
| Debt / FCF | — | 24.88 | 20.90 | 8.55 | 26.88 | 10.03 | 2.65 | 1.87 | 1.21 | 0.11 | -0.02 |
| Interest Coverage | -0.74 | -0.74 | 0.29 | 1.48 | -6.86 | 6.39 | 9.44 | 9.74 | 18.39 | 13.94 | 56.66 |
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 | 2.31 | 2.31 | 1.36 | 1.48 | 1.69 | 2.09 | 2.52 | 2.32 | 2.12 | 2.57 | 2.40 |
| Quick Ratio | 1.56 | 1.56 | 1.05 | 1.18 | 1.12 | 1.52 | 1.95 | 1.81 | 1.53 | 2.05 | 1.87 |
| Cash Ratio | 0.66 | 0.66 | 0.27 | 0.47 | 0.36 | 0.70 | 1.12 | 1.03 | 0.65 | 1.20 | 1.02 |
| Asset Turnover | — | 0.56 | 0.41 | 0.37 | 0.36 | 0.36 | 0.58 | 0.62 | 0.71 | 0.62 | 0.65 |
| Inventory Turnover | 3.52 | 3.52 | 3.25 | 3.24 | 2.43 | 3.03 | 3.70 | 3.99 | 3.80 | 4.14 | 4.23 |
| Days Sales Outstanding | — | 62.72 | 59.37 | 62.43 | 95.20 | 81.53 | 64.95 | 60.91 | 60.51 | 61.83 | 60.73 |
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 | 2.6% | 3.5% | 4.0% | 3.0% | 2.2% | 1.2% | 1.1% | 1.0% | 1.0% | 0.9% | 1.1% |
| Payout Ratio | — | — | — | 22.1% | — | 41.3% | 42.9% | 42.3% | 24.3% | 52.3% | 5.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | — | 13.5% | — | 2.9% | 2.7% | 2.3% | 4.5% | 1.7% | 20.3% |
| FCF Yield | 7.5% | 3.3% | 3.8% | 6.6% | 2.2% | 3.5% | 2.8% | 3.2% | 3.8% | 3.1% | 3.8% |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.1% | 1.4% | 1.2% | 2.9% | 6.8% | 1.6% | 1.2% |
| Total Shareholder Yield | 2.6% | 3.5% | 4.0% | 3.0% | 2.4% | 2.6% | 2.3% | 3.9% | 7.9% | 2.5% | 2.3% |
| Shares Outstanding | — | $513M | $510M | $506M | $504M | $508M | $517M | $519M | $546M | $555M | $551M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying BAX stock.
Baxter International Inc.'s current P/E ratio is -18.5x. The historical average is 18.7x.
Baxter International Inc.'s current EV/EBITDA is 28.6x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 12.9x.
Baxter International Inc.'s return on equity (ROE) is -14.6%. The historical average is 19.1%.
Based on historical data, Baxter International Inc. is trading at a P/E of -18.5x. Compare with industry peers and growth rates for a complete picture.
Baxter International Inc.'s current dividend yield is 2.63%.
Baxter International Inc. has 30.1% gross margin and -2.7% operating margin.
Baxter International Inc.'s Debt/EBITDA ratio is 14.9x, indicating high leverage. A ratio above 4x may signal elevated financial risk.
Key Metrics
Top Statement Risk
Leverage and thin margins
Metrics are mathematically derived from official filings.
Forward Multiples Diverge From Trailing Losses
Based on reported figures, BAX trades at a trailing P/E of -14.66 but a forward P/E of 12.34, and its EV/EBITDA of 31.63 compresses to 8.80 forward, a gap that signals the market is pricing a sharp earnings recovery that has not yet appeared in reported results.
The collapse from a 31.63 trailing EV/EBITDA to 8.80 forward implies that consensus expects EBITDA to roughly triple, which depends heavily on the Vantive separation and the absence of restructuring charges. Relative to peers such as BDX at 15.31 and EW at 31.14, the forward multiple looks undemanding, yet the negative trailing earnings suggest investors should monitor whether the forward estimate reflects durable operations or the one-time tariff refund cited in recent guidance.
Margin Recovery Remains Fragile and Uneven
As reported in quarterly statements, gross margin held between 33% and 35% in most recent quarters but fell to 19.4% in 2025Q4, while operating margin ranged from -24.5% to 7.6%, indicating earnings power is highly sensitive to charges and mix rather than stable.
The latest 7.6% operating margin and 9.9% net margin are the strongest in the window, yet the net margin exceeding the operating margin suggests non-operating or one-time items helped the bottom line. Compared with the peer group, where BSX posts a 14.4% net margin and EW 17.7%, BAX's profitability appears structurally lagging, and the reported figures do not yet establish a sustainable repricing of its earnings base.
Deleveraging Progress Still Leaves Balance Sheet Stretched
Based on Baxter's reported figures, debt-to-equity fell from 1.91 in 2024Q4 to 1.36 in 2026Q3 and total debt dropped from $13.2B to $8.8B, yet the ratio remains well above the 0.51 to 0.77 range of comparable peers.
Interest coverage has been volatile, moving from negative readings in loss quarters to 7.84 in 2026Q3, which suggests debt service has become more comfortable only recently and on a narrow earnings base. The 18.42 trailing D/EBITDA indicates that leverage relative to earnings remains elevated, so investors may want to assess how much of the improvement reflects asset shrinkage rather than organic cash generation.
Returns Recover From Deeply Negative Territory
According to reported quarterly data, ROE moved from -16.9% in 2025Q4 to 4.6% in 2026Q3 and ROIC reached 1.2%, a recovery that remains weak against peer ROIC levels such as BSX at 8.8% and EW at 15.5%.
The low ROIC of 1.2% relative to the company's large asset and goodwill base suggests that invested capital is not yet generating returns above its cost. Because the ROE improvement is partly a function of a shrinking equity and asset base, investors should distinguish between genuine compounding and a mechanical rebound driven by lower denominators.
Liquidity Adequate but Cash Buffer Thin
Based on reported figures, the 2026Q3 current ratio of 1.79 and quick ratio of 1.19 indicate near-term obligations are covered, yet the cash-to-debt ratio of 0.18 suggests limited liquid reserves against total borrowings.
The gap between the current and quick ratios points to meaningful inventory and receivable dependence, and the 56-day DSO combined with 106-day DIO implies working capital is tied up in operations. Under a severe stress scenario, the reliance on collecting receivables and moving inventory could constrain liquidity, so the position warrants monitoring alongside the ongoing divestiture timeline.
Cash Conversion Cycle Could Mask Working Capital Strain
Based on Baxter's reported figures, the cash conversion cycle widened from 116 days in 2025Q1 to 114 days in 2026Q3 after peaking at 180 days in 2024Q2, a pattern that suggests working capital efficiency has improved from its trough but remains well above the level implied by a stable operating model.
The ratio most commonly misapplied to this business is the current ratio, which treats inventory and receivables as equally liquid and ignores that BAX's 106-day DIO and 56-day DSO tie up substantial capital in slow-moving medical supplies and hospital receivables. A cash conversion cycle or operating cash flow to current liabilities measure would better capture whether the reported 1.79 current ratio reflects genuine coverage or inventory-dependent liquidity that could be tested under a hospital payment slowdown.