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BWAYBrainsWay Ltd.
$13.45$528M
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  4. Financial Ratios

BrainsWay Ltd. (BWAY) Financial Ratios

Latest Ratios: P/E Ratio 37.4x · EV/EBITDA 79.6x · ROE 11.3%. (2012–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

BWAY 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$528M$202M$164M$107M$41M$120M$85M$100M———
Enterprise Value$467M$141M$100M$97M$-6196565$104M$68M$79M———
P/E Ratio →37.3626.4252.44————————
P/S Ratio10.103.864.003.381.504.043.844.33———
P/B Ratio3.902.752.632.580.902.094.314.13———
P/FCF32.1612.3025.23————————
P/OCF29.0511.1015.9483.66—135.68—————

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

BWAY 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—2.702.453.06-0.233.503.103.41———
EV / EBITDA79.6224.0231.75————————
EV / EBIT107.9514.1927.99————————
EV / FCF—8.5815.43————————

BWAY 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 Margin75.4%75.4%74.6%73.9%73.8%77.7%77.1%77.8%78.1%76.7%78.9%
Operating Margin8.3%8.3%3.4%-15.6%-46.7%-16.9%-21.9%-36.7%-31.2%-59.3%-18.0%
Net Profit Margin14.6%14.6%7.1%-13.2%-49.1%-21.8%-24.4%-44.7%-39.5%-63.3%-20.8%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE11.3%11.3%5.6%-9.7%-26.0%-16.8%-24.6%-66.3%-65.9%-61.3%-20.7%
ROA7.4%7.4%3.7%-6.6%-19.0%-11.8%-14.8%-33.1%-25.6%-30.0%-11.4%
ROIC59.3%59.3%6.9%-24.9%-48.2%-16.8%-114.9%-336.6%-436.8%-346.5%-86.4%
ROCE5.1%5.1%2.1%-9.1%-20.6%-10.7%-16.3%-35.9%-28.3%-36.3%-12.6%

BWAY Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity0.090.090.090.010.010.010.030.020.410.210.08
Debt / EBITDA1.161.161.78————————
Net Debt / Equity—-0.83-1.02-0.24-1.04-0.28-0.83-0.88-0.88-0.93-0.81
Net Debt / EBITDA-10.39-10.39-20.15————————
Debt / FCF—-3.71-9.80————————
Interest Coverage4.454.452.64-13.08-191.00-45.10-47.94-18.79-14.98-50.73-32.67

Net cash position: cash ($68M) exceeds total debt ($7M)

BWAY Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio3.833.835.195.687.147.223.574.291.622.922.98
Quick Ratio3.513.514.905.306.667.203.514.251.612.872.85
Cash Ratio3.123.124.524.715.846.332.533.261.082.372.09
Asset Turnover—0.460.430.500.420.390.650.600.690.410.58
Inventory Turnover1.801.802.362.241.8632.9911.4416.7639.449.584.15
Days Sales Outstanding—28.7340.9043.4165.0677.9395.8194.1188.4695.8392.23

BWAY 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 Yield2.7%3.8%1.9%————————
FCF Yield3.1%8.1%4.0%————————
Buyback Yield0.0%0.0%0.0%0.0%0.1%0.0%0.0%0.0%———
Total Shareholder Yield0.0%0.0%0.0%0.0%0.1%0.0%0.0%0.0%———
Shares Outstanding—$21M$35M$33M$33M$31M$22M$21M$17M$15M$15M

Key Metrics

Growth RegimeAccelerating
ProfitabilityModerate
Balance SheetHealthy
Cash FlowMixed
Top Statement Risk

Valuation assumes flawless execution

Premium Pricing on Unproven Scale

BrainsWay trades at a significant premium with a P/E of 40.33 and EV/EBITDA of 86.78, pricing in a future that assumes its recent 37.8% revenue growth will translate into sustained, high-margin profitability far beyond its current 14.0% operating margin.

The valuation multiples are exceptionally high relative to the company's current profitability metrics, suggesting the market is pricing in a substantial expansion of its operating margin from 14.0% to levels more typical of mature medical device leaders. The forward EV/EBITDA of 43.28 indicates analysts expect significant EBITDA growth, but the current ROIC of 7.6% in 2026Q2 shows the business is still in the early stages of generating returns on its invested capital. This creates a high bar for execution, where any deceleration in growth or margin expansion could lead to a sharp multiple compression.

Gross Strength Masked by Operating Scale-Up

BrainsWay's gross margin is a robust 74.6% in 2026Q2, but its operating margin of 14.0% reveals that the company is still in a phase of heavy investment, with SG&A and R&D consuming over 60% of revenue to support its rapid growth trajectory.

The consistent ~75% gross margin is a structural strength, indicating strong pricing power and a favorable cost of goods sold profile for its medical devices. However, the operating margin, while improving from 1.0% in 2024Q1, is still modest and highly sensitive to revenue growth rates. The net margin of 15.8% in 2026Q2 appears to be inflated by non-operating items, as it exceeds the operating margin, which warrants scrutiny regarding the sustainability of bottom-line profitability.

Early-Stage Compounding with Volatile Returns

ROIC has shown a volatile but upward trend, reaching 7.6% in 2026Q2 from 0.2% in 2024Q1, indicating the company is beginning to generate returns on its capital base, though the path has been inconsistent and remains below typical cost-of-capital thresholds.

The improvement in ROIC is driven by the expansion of operating margins as revenue scales, but the volatility (e.g., a spike to 21.3% in 2025Q2 followed by a decline) suggests that returns are not yet stable and are heavily influenced by quarterly working capital swings and non-recurring items. The ROE of 3.6% is low, reflecting the company's large accumulated deficit and the fact that it is still in the early stages of compounding returns for equity holders.

Working Capital Swings Dominate Cash Cycles

BrainsWay's cash conversion cycle is lengthy at 130 days in 2026Q2, primarily driven by a high days inventory outstanding of 148 days, which suggests potential inefficiencies in inventory management or a build-up to support future sales growth.

The DSO of 38 days indicates efficient collections from customers, while the DPO of 56 days shows moderate supplier payment terms. However, the high DIO is a key area of concern, as it ties up significant capital and contributes to the volatile free cash flow margins observed. The overall CCC has fluctuated between 94 and 158 days over the past ten quarters, indicating that working capital management is not yet a consistent source of cash generation.

Minimal Debt Enables Growth Focus

With a debt-to-equity ratio of just 0.09 and interest coverage of 2.72 in 2026Q2, BrainsWay operates with minimal financial leverage, allowing it to focus its cash flows on funding its growth initiatives rather than servicing debt.

The low leverage profile is a significant strength, providing financial flexibility and reducing risk during this high-growth phase. The interest coverage ratio, while lower than in some prior quarters (e.g., 8.55 in 2026Q1), remains adequate and is a function of the company's modest debt load. This conservative balance sheet structure suggests that the company is not reliant on external financing to fund its operations, which is a positive sign for its self-funding capability.

The Misleading Power of Gross Margin

The most commonly misapplied ratio for BrainsWay is its 74.6% gross margin, which obscures the reality that the company's operating model requires massive SG&A and R&D spending to generate sales, resulting in a much lower operating margin of 14.0%.

Investors often focus on the high gross margin as a sign of a superior business model, but for a company in BrainsWay's stage of commercialization, this metric is misleading. The true measure of its earning power is the operating margin, which is still in the low-teens and highly dependent on maintaining rapid revenue growth to absorb its fixed cost base. A more appropriate metric to monitor would be the operating margin trend relative to revenue growth, as this will indicate whether the company is successfully achieving operating leverage.

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Includes 30+ ratios · 14 years · Updated daily

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BWAY — Frequently Asked Questions

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

What is BrainsWay Ltd.'s P/E ratio?

BrainsWay Ltd.'s current P/E ratio is 37.4x. The historical average is 39.4x. This places it at the 50th percentile of its historical range.

What is BrainsWay Ltd.'s EV/EBITDA?

BrainsWay Ltd.'s current EV/EBITDA is 79.6x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 27.9x.

What is BrainsWay Ltd.'s ROE?

BrainsWay Ltd.'s return on equity (ROE) is 11.3%. The historical average is -42.3%.

Is BWAY stock overvalued?

Based on historical data, BrainsWay Ltd. is trading at a P/E of 37.4x. This is at the 50th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What are BrainsWay Ltd.'s profit margins?

BrainsWay Ltd. has 75.4% gross margin and 8.3% operating margin.

How much debt does BrainsWay Ltd. have?

BrainsWay Ltd.'s Debt/EBITDA ratio is 1.2x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.