Latest Ratios: P/E Ratio 15.5x · EV/EBITDA 8.7x · ROE 10.4%. (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 | $2.5B | $2.1B | $2.5B | $1.8B | $1.6B | $2.0B | $1.6B | $1.3B | $1.5B | $1.6B | $1.0B |
| Enterprise Value | $3.0B | $2.7B | $3.1B | $2.7B | $2.8B | $2.9B | $1.8B | $1.5B | $1.7B | $1.9B | $1.3B |
| P/E Ratio → | 15.49 | 13.03 | 22.62 | 18.39 | 13.16 | 16.61 | 13.45 | 14.39 | 12.16 | 20.01 | 22.84 |
| P/S Ratio | 0.79 | 0.68 | 0.77 | 0.56 | 0.48 | 0.61 | 0.60 | 0.56 | 0.68 | 0.77 | 0.55 |
| P/B Ratio | 1.59 | 1.34 | 1.57 | 1.27 | 1.20 | 1.65 | 1.50 | 1.34 | 1.58 | 2.47 | 1.83 |
| P/FCF | 8.49 | 7.28 | 6.97 | 5.64 | — | 11.84 | 7.32 | 7.70 | 19.74 | 22.63 | 8.20 |
| P/OCF | 7.43 | 6.38 | 6.21 | 4.84 | — | 8.05 | 6.13 | 6.51 | 13.19 | 13.79 | 6.70 |
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 | — | 0.86 | 0.97 | 0.83 | 0.84 | 0.89 | 0.66 | 0.64 | 0.77 | 0.94 | 0.72 |
| EV / EBITDA | 8.65 | 7.65 | 11.29 | 9.16 | 7.21 | 7.91 | 6.18 | 7.57 | 8.00 | 9.76 | 7.78 |
| EV / EBIT | 11.43 | 9.76 | 15.59 | 12.45 | 10.92 | 11.76 | 9.01 | 9.45 | 10.25 | 12.42 | 11.71 |
| EV / FCF | — | 9.20 | 8.86 | 8.34 | — | 17.30 | 8.05 | 8.83 | 22.49 | 27.85 | 10.64 |
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 | 31.1% | 31.1% | 29.5% | 28.6% | 29.7% | 29.4% | 29.0% | 29.5% | 30.5% | 30.8% | 30.2% |
| Operating Margin | 8.5% | 8.5% | 5.8% | 6.4% | 7.8% | 7.8% | 7.3% | 6.4% | 7.6% | 7.6% | 7.1% |
| Net Profit Margin | 5.2% | 5.2% | 3.4% | 3.8% | 4.6% | 4.6% | 4.5% | 3.9% | 5.6% | 3.8% | 2.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 10.4% | 10.4% | 7.2% | 9.0% | 11.9% | 13.2% | 11.6% | 9.5% | 15.5% | 13.2% | 8.4% |
| ROA | 4.5% | 4.5% | 3.1% | 3.8% | 4.8% | 5.6% | 5.5% | 4.7% | 7.7% | 6.3% | 3.8% |
| ROIC | 9.1% | 9.1% | 6.1% | 6.5% | 8.3% | 11.4% | 12.2% | 9.6% | 11.6% | 12.6% | 11.3% |
| ROCE | 8.7% | 8.7% | 6.2% | 7.3% | 9.6% | 11.4% | 10.9% | 8.8% | 12.0% | 14.9% | 13.1% |
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 | 0.91 | 0.91 | 0.91 | 0.95 | 1.04 | 1.11 | 0.76 | 0.70 | 0.73 | 0.62 | 0.71 |
| Debt / EBITDA | 4.12 | 4.12 | 5.14 | 4.61 | 3.55 | 3.64 | 2.82 | 3.43 | 3.23 | 1.99 | 2.33 |
| Net Debt / Equity | — | 0.35 | 0.43 | 0.61 | 0.90 | 0.76 | 0.15 | 0.20 | 0.22 | 0.57 | 0.55 |
| Net Debt / EBITDA | 1.59 | 1.59 | 2.41 | 2.97 | 3.09 | 2.49 | 0.56 | 0.97 | 0.98 | 1.83 | 1.78 |
| Debt / FCF | — | 1.92 | 1.90 | 2.70 | — | 5.46 | 0.73 | 1.13 | 2.75 | 5.22 | 2.44 |
| Interest Coverage | 4.76 | 4.76 | 3.48 | 3.85 | 4.41 | 4.28 | 4.49 | 3.80 | 4.27 | 5.53 | 2.63 |
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 | 3.67 | 3.67 | 3.66 | 3.73 | 3.34 | 2.96 | 3.46 | 4.69 | 5.72 | 3.10 | 3.53 |
| Quick Ratio | 2.33 | 2.33 | 2.19 | 1.90 | 1.32 | 1.64 | 2.47 | 3.02 | 3.71 | 1.37 | 1.74 |
| Cash Ratio | 1.64 | 1.64 | 1.46 | 1.07 | 0.38 | 0.82 | 1.48 | 1.79 | 2.26 | 0.15 | 0.46 |
| Asset Turnover | — | 0.86 | 0.90 | 0.98 | 1.02 | 1.06 | 1.15 | 1.18 | 1.16 | 1.57 | 1.51 |
| Inventory Turnover | 2.99 | 2.99 | 2.98 | 2.82 | 2.50 | 3.40 | 4.35 | 3.60 | 3.60 | 3.72 | 3.52 |
| Days Sales Outstanding | — | 37.95 | 37.20 | 36.71 | 41.19 | 42.58 | 53.05 | 45.97 | 45.46 | 42.26 | 40.14 |
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 | — | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 6.5% | 7.7% | 4.4% | 5.4% | 7.6% | 6.0% | 7.4% | 6.9% | 8.2% | 5.0% | 4.4% |
| FCF Yield | 11.8% | 13.7% | 14.4% | 17.7% | — | 8.4% | 13.7% | 13.0% | 5.1% | 4.4% | 12.2% |
| Buyback Yield | 6.3% | 7.3% | 1.0% | 2.0% | 3.9% | 1.4% | 3.6% | 4.7% | 0.9% | 1.7% | 1.1% |
| Total Shareholder Yield | 6.3% | 7.3% | 1.0% | 2.0% | 3.9% | 1.4% | 3.6% | 4.7% | 0.9% | 1.7% | 1.1% |
| Shares Outstanding | — | $64M | $67M | $53M | $54M | $55M | $55M | $58M | $53M | $52M | $51M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying CENT stock.
Central Garden & Pet Company's current P/E ratio is 15.5x. The historical average is 16.8x. This places it at the 56th percentile of its historical range.
Central Garden & Pet Company's current EV/EBITDA is 8.7x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 9.0x.
Central Garden & Pet Company's return on equity (ROE) is 10.4%. The historical average is 5.2%.
Based on historical data, Central Garden & Pet Company is trading at a P/E of 15.5x. This is at the 56th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Central Garden & Pet Company has 31.1% gross margin and 8.5% operating margin.
Central Garden & Pet Company's Debt/EBITDA ratio is 4.1x, indicating high leverage. A ratio above 4x may signal elevated financial risk.
Key Metrics
Top Statement Risk
Private label shelf-space pressure
Metrics are mathematically derived from official filings.
Margin Inflection from Mix Shift
Gross margin expanded to 35.9% in Q3 2026, up 130 bps year-over-year, per the latest income statement, signaling a structural mix shift toward higher-margin proprietary brands after exiting pet distribution.
The sequential improvement in gross margin from 29.0% in Q4 2025 to 35.9% in Q3 2026, as reported in the financial statements, suggests the portfolio reshaping is yielding tangible benefits. Operating margin reached 14.3%, the highest in the dataset, indicating that SG&A leverage is amplifying the gross margin gains. However, the sustainability of this margin profile warrants monitoring, as the revenue decline of 8.2% year-over-year implies the top-line trade-off may pressure absolute profitability if volume erosion accelerates.
Return on Capital Cyclicality
ROIC swung from -1.0% in Q4 2024 to 4.1% in Q3 2026, per the ratio data, reflecting the seasonal and cyclical nature of the Garden segment and the impact of the pet distribution exit.
The quarterly ROIC figures exhibit pronounced seasonality, with troughs in fiscal Q1 and Q4 and peaks in Q2 and Q3, consistent with the spring-driven Garden business. The Q3 2026 ROIC of 4.1% is the highest in the dataset, but it remains below the cost of capital, suggesting that the company is not yet compounding returns at an attractive rate. The improvement from -1.0% in Q4 2024 to 4.1% in Q3 2026 indicates a recovering trend, but investors should assess whether this is a sustainable structural improvement or a seasonal peak.
Working Capital Seasonality Persists
Cash conversion cycle averaged 129 days in Q3 2026, per the ratio data, with DIO of 114 days and DPO of 40 days, indicating heavy inventory investment and limited supplier leverage.
The CCC has remained elevated, ranging from 129 to 163 days over the past ten quarters, driven by high DIO that peaks in Q1 (166 days) as the company builds inventory ahead of the spring season. The DPO of 40 days is relatively low, suggesting that Central does not have significant bargaining power over its suppliers, which may be a consequence of its hybrid distributor/manufacturer model. The working capital intensity is a key driver of the seasonal cash flow swings, with FCF margins ranging from -13.1% to 35.7%, as reported in the cash flow statement.
Leverage Eases but Coverage Remains Thin
Debt-to-equity improved to 0.81 in Q3 2026 from 0.91 a year earlier, per the balance sheet, while interest coverage of 8.71x suggests debt service is manageable but sensitive to earnings seasonality.
The D/E ratio has declined modestly, reflecting equity growth from retained earnings, but the D/EBITDA ratio of 7.46x in Q3 2026 is elevated, indicating that debt levels are high relative to current EBITDA. Interest coverage of 8.71x in Q3 2026 is comfortable, but it fell to 0.03x in Q4 2025 when EBITDA was near zero, highlighting the vulnerability of the company's coverage ratios during seasonal troughs. The low D/E of 0.81% in the provided data appears inconsistent with historical norms, but based on the reported figures, leverage appears manageable, though the seasonal volatility in earnings warrants monitoring.
Liquidity Buffer at Multi-Year High
Current ratio reached 3.79 in Q3 2026, up from 3.33 in Q2 2024, per the balance sheet, with cash of $996.7M providing a robust buffer against seasonal and operational shocks.
The current ratio has consistently exceeded 3.0 over the past ten quarters, indicating a strong liquidity position, with the quick ratio of 2.67 in Q3 2026 suggesting that inventory is not a critical component of short-term solvency. The cash balance of $996.7M, as reported in the balance sheet, represents a significant cushion that could support working capital needs during the inventory build-up in Q1 and Q2. This liquidity strength appears to be a deliberate strategy to manage the inherent seasonality of the Garden segment, though it may also reflect a conservative capital allocation approach.
Misapplied P/E on Seasonal Earnings
The trailing P/E of 17.22x, per the valuation multiples, is often misapplied to Central's seasonal earnings, obscuring the true earnings power that is better captured by normalized EBITDA or average ROIC.
The P/E ratio is distorted by the significant quarterly swings in net income, which range from -5.1% net margin in Q4 2024 to 10.2% in Q3 2026, as reported in the ratio data. Using a single quarter's EPS to calculate a forward P/E can mislead investors about the company's sustainable earnings capacity. Instead, analysts should use a normalized EBITDA multiple, such as the EV/EBITDA of 9.44x, which smooths out seasonal volatility and better reflects the company's cash-generating ability. Additionally, the P/E fails to account for the substantial working capital swings that drive cash flow, making EV/FCF a more appropriate valuation metric for this business model.