Latest Ratios: P/E Ratio 33.5x · EV/EBITDA 12.2x · ROE 6.5%. (2004–2025 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 | $17.0B | $11.5B | $14.3B | $16.4B | $21.9B | $26.4B | $17.6B | $14.9B | $12.5B | $18.3B | $11.8B |
| Enterprise Value | $41.5B | $36.0B | $38.2B | $39.7B | $40.7B | $52.6B | $46.8B | $45.8B | $42.4B | $50.3B | $42.4B |
| P/E Ratio → | 33.54 | 22.49 | 11.44 | 7.21 | 10.78 | 15.30 | — | 10.48 | 11.81 | 67.00 | — |
| P/S Ratio | 0.94 | 0.64 | 0.72 | 0.67 | 0.93 | 1.36 | 1.19 | 0.53 | 0.42 | 0.66 | 0.47 |
| P/B Ratio | 2.20 | 1.47 | 1.84 | 2.02 | 3.14 | 3.86 | 3.50 | 2.42 | 2.46 | 4.30 | 2.65 |
| P/FCF | 8.55 | 5.78 | 18.26 | — | — | 8.37 | 3.75 | — | 19.23 | 29.08 | 19.99 |
| P/OCF | 6.72 | 4.54 | 7.25 | 18.13 | 39.27 | 6.48 | 3.18 | 8.16 | 4.91 | 6.39 | 4.34 |
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 | — | 1.99 | 1.93 | 1.61 | 1.73 | 2.70 | 3.17 | 1.63 | 1.43 | 1.82 | 1.69 |
| EV / EBITDA | 12.16 | 10.55 | 8.59 | 7.21 | 8.32 | 13.70 | 19.72 | 10.10 | 9.09 | 11.84 | 13.34 |
| EV / EBIT | 14.91 | 16.58 | 12.47 | 9.82 | 12.17 | 21.50 | 97.39 | 13.79 | 12.74 | 17.35 | 41.79 |
| EV / FCF | — | 18.04 | 48.91 | — | — | 16.63 | 10.00 | — | 65.02 | 79.81 | 71.66 |
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 | 31.5% | 31.5% | 32.7% | 31.8% | 29.6% | 27.7% | 24.5% | 22.5% | 21.8% | 21.2% | 20.1% |
| Operating Margin | 15.4% | 15.4% | 19.4% | 20.0% | 18.5% | 16.9% | 12.4% | 11.8% | 11.2% | 10.5% | 7.6% |
| Net Profit Margin | 2.8% | 2.8% | 6.3% | 9.2% | 8.6% | 8.8% | -3.3% | 5.1% | 3.6% | 1.0% | -1.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 6.5% | 6.5% | 15.7% | 30.1% | 29.3% | 29.0% | -8.8% | 25.3% | 22.8% | 6.2% | -5.4% |
| ROA | 1.2% | 1.2% | 2.8% | 5.3% | 4.6% | 3.5% | -1.0% | 3.0% | 2.3% | 0.6% | -0.5% |
| ROIC | 6.5% | 6.5% | 9.1% | 13.0% | 11.1% | 7.4% | 3.9% | 6.9% | 7.0% | 6.1% | 4.1% |
| ROCE | 9.8% | 9.8% | 13.5% | 15.8% | 13.3% | 9.3% | 4.7% | 8.8% | 8.8% | 7.5% | 4.9% |
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 | 3.45 | 3.45 | 3.50 | 3.39 | 3.32 | 4.55 | 7.57 | 5.81 | 6.84 | 8.78 | 7.96 |
| Debt / EBITDA | 7.92 | 7.92 | 6.10 | 5.01 | 4.74 | 8.12 | 16.01 | 7.89 | 7.48 | 8.80 | 11.19 |
| Net Debt / Equity | — | 3.13 | 3.09 | 2.86 | 2.70 | 3.81 | 5.82 | 5.02 | 5.86 | 7.51 | 6.84 |
| Net Debt / EBITDA | 7.17 | 7.17 | 5.38 | 4.23 | 3.85 | 6.81 | 12.32 | 6.81 | 6.40 | 7.52 | 9.62 |
| Debt / FCF | — | 12.26 | 30.66 | — | — | 8.26 | 6.25 | — | 45.80 | 50.73 | 51.67 |
| Interest Coverage | 1.46 | 1.46 | 1.90 | 3.01 | 4.55 | 4.45 | 0.73 | 4.16 | 4.10 | 3.28 | 0.99 |
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 | 2.23 | 2.23 | 2.16 | 2.02 | 5.27 | 2.21 | 3.55 | 3.73 | 3.48 | 3.40 | 4.29 |
| Quick Ratio | 1.90 | 1.90 | 1.84 | 1.71 | 4.41 | 1.97 | 2.93 | 2.92 | 2.75 | 2.74 | 3.51 |
| Cash Ratio | 0.18 | 0.18 | 0.22 | 0.25 | 0.78 | 0.28 | 0.90 | 0.56 | 0.55 | 0.56 | 0.70 |
| Asset Turnover | — | 0.42 | 0.46 | 0.53 | 0.60 | 0.39 | 0.30 | 0.59 | 0.64 | 0.57 | 0.55 |
| Inventory Turnover | 2.66 | 2.66 | 2.80 | 3.04 | 3.45 | 3.34 | 1.85 | 3.07 | 3.45 | 3.38 | 3.53 |
| Days Sales Outstanding | — | 474.55 | 430.18 | 366.11 | 305.77 | 291.49 | 468.33 | 257.95 | 240.35 | 267.42 | 280.50 |
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 | 1.9% | 2.9% | 4.3% | 3.3% | 1.9% | 0.7% | 0.0% | 1.9% | 1.9% | 0.9% | 1.7% |
| Payout Ratio | 65.3% | 65.3% | 48.7% | 23.6% | 20.8% | 10.9% | — | 19.9% | 22.8% | 61.8% | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 3.0% | 4.4% | 8.7% | 13.9% | 9.3% | 6.5% | — | 9.5% | 8.5% | 1.5% | — |
| FCF Yield | 11.7% | 17.3% | 5.5% | — | — | 12.0% | 26.6% | — | 5.2% | 3.4% | 5.0% |
| Buyback Yield | 0.6% | 0.9% | 4.9% | 4.0% | 0.7% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Total Shareholder Yield | 2.5% | 3.8% | 9.2% | 7.2% | 2.6% | 0.7% | 0.0% | 1.9% | 1.9% | 0.9% | 1.7% |
| Shares Outstanding | — | $1.3B | $1.3B | $1.4B | $1.4B | $1.4B | $1.4B | $1.4B | $1.4B | $1.4B | $1.4B |
Includes 30+ ratios · 22 years · Updated daily
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Quick answers to the most common questions about buying CNH stock.
CNH Industrial N.V.'s current P/E ratio is 33.5x. The historical average is 22.8x. This places it at the 83th percentile of its historical range.
CNH Industrial N.V.'s current EV/EBITDA is 12.2x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 10.7x.
CNH Industrial N.V.'s return on equity (ROE) is 6.5%. The historical average is 11.1%.
Based on historical data, CNH Industrial N.V. is trading at a P/E of 33.5x. This is at the 83th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
CNH Industrial N.V.'s current dividend yield is 1.94% with a payout ratio of 65.3%.
CNH Industrial N.V. has 31.5% gross margin and 15.4% operating margin. Operating margin between 10-20% is typical for established companies.
CNH Industrial N.V.'s Debt/EBITDA ratio is 7.9x, indicating high leverage. A ratio above 4x may signal elevated financial risk.
Key Metrics
Top Statement Risk
High leverage at cyclical trough
Metrics are mathematically derived from official filings.
Margin Compression Reflects Cyclical Pressures
Gross margin fell 440bps to 29.3% in 2026Q2 from 33.7% in 2024Q1, while operating margin contracted 670bps to 13.7%, indicating high operating leverage and pricing pressure, per reported financials.
The sequential stabilization in gross margin from 29.3% in 2026Q2 versus 31.9% in 2026Q1 suggests the worst of the margin erosion may be passing, but the year-over-year decline remains steep. Operating margin has held near 13.7% for three consecutive quarters, implying that cost actions are offsetting volume declines, yet the gap between operating and net margin (13.7% vs 2.9%) highlights significant non-operating charges, likely interest expense, that are compressing bottom-line earnings. Investors should monitor whether the net margin can recover as the cycle turns, given the fixed-cost base and debt load.
Return on Capital Decays at Cycle Trough
ROIC fell from 2.5% in 2024Q2 to 1.5% in 2026Q2, while ROE dropped from 5.1% to 1.8%, reflecting the cyclical downturn and high capital intensity, as per quarterly data.
The decline in ROIC is driven by both margin compression and a slight increase in invested capital, as PP&E rose from $3.3B to $3.8B over the period. The absolute level of ROIC is low relative to peers like Deere (7.8%) and Caterpillar (15.9%), indicating that CNH's capital efficiency is structurally weaker, partly due to its captive finance arm. The trend suggests that returns are highly cyclical and may recover only when volumes and pricing improve, but the elevated debt levels could dampen the recovery in ROE.
Working Capital Cycle Stretches on Dealer Destocking
Cash conversion cycle widened to 510 days in 2026Q2 from 479 days in 2024Q2, driven by DSO of 436 days and DIO of 139 days, indicating slower collections and inventory build, per financial statements.
The CCC has been volatile, peaking at 645 days in 2025Q1, and the current level remains elevated compared to the 2024 average of around 530 days. DSO of 436 days is exceptionally high, reflecting the captive finance receivables that are consolidated, which inflates the metric relative to pure industrial peers. DPO of 65 days is relatively low, suggesting limited supplier leverage, while DIO of 139 days indicates inventory levels are not yet aligned with demand. The working capital swings are consistent with dealer destocking and may normalize as retail demand stabilizes.
Leverage Elevated but Interest Coverage Thins
Debt-to-equity stands at 3.37 in 2026Q2, with interest coverage of only 1.46x, down from 2.09x in 2024Q2, indicating reduced debt service comfort, as reported in quarterly filings.
The D/E ratio has been stable around 3.3-3.5 over the past two years, but the absolute debt level of $26.3B is substantial relative to equity. Interest coverage has deteriorated from 2.09x to 1.46x over the same period, reflecting both lower operating income and higher interest expense, which is a concern given the cyclical trough. The consolidated leverage includes the captive finance arm, which is integral to sales, but the thin coverage suggests limited headroom for further debt-funded capital returns. Investors should monitor whether operating cash flow can service debt as the cycle recovers.
Liquidity Buffer Appears Adequate but Thinning
Current ratio improved to 7.16 in 2026Q2 from 6.61 in 2024Q1, but cash fell from $3.2B to $1.9B, indicating a thinner liquidity cushion, per balance sheet data.
The current ratio is high, but it is inflated by the captive finance receivables, which are liquid but tied to dealer financing. The quick ratio of 5.97 remains strong, suggesting that inventory is not a major liquidity concern. However, the decline in cash reserves and the negative free cash flow in 2026Q2 (-$128M) indicate that the company is consuming cash at the trough. The liquidity position appears adequate for the near term, but the trend warrants monitoring if the downturn persists.
Misapplied Metric: Consolidated D/E
The most misapplied ratio is consolidated debt-to-equity, which overstates industrial leverage because it includes the captive finance arm's debt, obscuring the true risk of the manufacturing operations, per financial disclosures.
Analysts often compare CNH's D/E of 3.37 to industrial peers like Deere (2.46) and Caterpillar (2.03), but this is misleading because CNH's finance arm is consolidated, and its debt is integral to supporting sales. Excluding the finance arm, the industrial D/E would be significantly lower, but the finance arm's debt still poses a risk if credit losses rise. A more appropriate metric is the industrial net debt to EBIT or the finance arm's leverage ratio, which would provide a clearer picture of the operating company's financial risk. Investors should adjust for the finance arm when assessing CNH's balance sheet strength.