Latest Ratios: P/E Ratio -13.4x · EV/EBITDA 30.0x · 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 | $12.1B | $9.8B | $14.9B | $19.6B | $25.7B | $43.6B | $41.5B | $43.4B | $35.9B | $35.9B | $24.4B |
| Enterprise Value | $20.2B | $17.8B | $26.6B | $30.6B | $41.2B | $59.0B | $44.6B | $46.0B | $37.6B | $36.0B | $24.4B |
| P/E Ratio → | -13.42 | — | — | 7.39 | — | 33.93 | 37.67 | 43.33 | 22.16 | 59.85 | 4.92 |
| P/S Ratio | 1.08 | 0.87 | 1.40 | 1.89 | 2.55 | 3.59 | 3.55 | 3.82 | 3.24 | 3.39 | 2.40 |
| P/B Ratio | 1.97 | 1.61 | 2.12 | 2.31 | 4.36 | 4.78 | 4.75 | 5.49 | 4.57 | 3.94 | 2.95 |
| P/FCF | 37.56 | 30.35 | 26.60 | 15.16 | 44.60 | 28.48 | 35.79 | 30.82 | 26.46 | 32.67 | 26.13 |
| P/OCF | 14.36 | 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 | 29.97 | 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 | 2.9% | 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 | 2.7% | 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 | 2.9% | 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 -13.4x. The historical average is 18.7x.
Baxter International Inc.'s current EV/EBITDA is 30.0x. 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 -13.4x. Compare with industry peers and growth rates for a complete picture.
Baxter International Inc.'s current dividend yield is 2.89%.
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
Elevated leverage and spin-off execution
Metrics are mathematically derived from official filings.
Margin Recovery Masked by Charges
Gross margin has slipped from 38.6% in Q1 2024 to 34.9% in Q2 2026, per quarterly filings, while operating margin swung to 7.3% after a -24.5% trough, suggesting underlying cost pressures persist.
The rebound in operating margin from -24.5% in Q4 2025 to 7.3% in Q2 2026 appears driven by cost controls and the absence of large impairment charges, but gross margin compression indicates structural input cost inflation and mix shift. Net margin of 4.3% in Q2 2026 remains thin, and the recent beat included a one-time tariff refund, so investors should monitor whether margin expansion is sustainable ex-items.
Return on Capital Remains Subdued
ROIC has hovered near 1% over the past year, with Q2 2026 at 1.2%, as reported in financial statements, reflecting a high capital base and thin operating returns, well below the cost of capital.
Despite a slight improvement from negative levels in Q4 2025, ROIC of 1.2% suggests the company is not yet generating economic profits, likely due to integration costs and a heavy asset base from the Hillrom acquisition. The trend in ROE, which swung from -16.9% to 2.1%, indicates that equity returns are recovering but remain far below historical norms, implying that the portfolio transformation has yet to deliver meaningful value creation.
Working Capital Efficiency Improves
Cash conversion cycle shortened from 180 days in Q2 2024 to 113 days in Q2 2026, per quarterly data, driven by faster receivables collection and inventory turnover, though DIO remains elevated at 108 days.
The reduction in DSO from 87 to 55 days and DIO from 163 to 108 days indicates improved working capital management, but DPO has also declined, suggesting less supplier leverage. Asset turnover has improved from 0.09 to 0.15, reflecting a leaner asset base post-spin-off, yet the absolute level remains low, consistent with a capital-intensive manufacturing model.
Leverage Elevated Despite Deleveraging
Debt-to-equity stands at 1.56 in Q2 2026, down from 1.72 in Q1 2024, as per balance sheet data, but cash-to-debt of 0.18 and D/EBITDA of 21.2 indicate a thin liquidity buffer and high leverage.
Interest coverage improved to 3.05 in Q2 2026 from negative levels in Q4 2025, but the absolute level remains low, suggesting that debt service is still a strain on earnings. The elevated D/EBITDA, though distorted by depressed EBITDA, underscores the risk if operating margins do not continue to recover. The Vantive spin-off may reduce debt, but until completed, leverage remains a key credit concern.
Liquidity Buffer Thin but Stable
Current ratio improved to 1.95 in Q2 2026 from 1.48 in Q1 2024, per balance sheet data, but cash of $2.1B covers only 22% of total debt, indicating limited liquidity cushion.
The quick ratio of 1.32 suggests adequate short-term coverage, but the low cash-to-debt ratio implies that the company would rely on refinancing or asset sales to meet near-term obligations if cash flows falter. The improvement in current ratio is partly due to asset shrinkage from the spin-off, so the quality of liquidity may be weaker than it appears.
Misapplied EV/EBITDA in Transition
EV/EBITDA of 33.5 appears optically expensive, but as reported in financial statements, EBITDA is depressed by one-time charges and spin-off costs, making the multiple misleading for this business.
The most commonly misapplied ratio for BAX is EV/EBITDA, because the denominator is temporarily suppressed by restructuring and impairment charges, inflating the multiple. Investors should instead focus on forward EV/EBITDA (28.4) or EV/EBIT adjusted for non-recurring items, and consider the debt reduction potential from the Vantive spin-off, which could normalize leverage and improve the multiple's comparability.