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CSIQCanadian Solar Inc.
$11.34$769M
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  4. Financial Ratios

Canadian Solar Inc. (CSIQ) Financial Ratios

Latest Ratios: P/E Ratio -7.3x · EV/EBITDA 10.9x · ROE -2.5%. (2003–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

CSIQ 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$769M$1.6B$744M$1.9B$2.2B$2.2B$3.2B$1.3B$893M$1.0B$707M
Enterprise Value$6.5B$7.4B$4.4B$4.4B$5.3B$4.5B$4.4B$2.6B$2.6B$3.0B$2.6B
P/E Ratio →-7.32—20.596.788.9821.4321.537.783.769.9810.87
P/S Ratio0.140.290.120.250.290.410.920.420.240.310.25
P/B Ratio0.180.380.180.510.951.011.690.940.700.980.79
P/FCF————7.62——4.35———
P/OCF———2.772.40——2.244.135.09—

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

CSIQ 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—1.320.730.580.700.861.280.830.700.870.92
EV / EBITDA10.9312.329.345.838.769.6010.166.055.338.0413.92
EV / EBIT151.46196.8879.808.4812.2223.1121.5510.146.5111.7416.71
EV / FCF————18.23——8.57———

CSIQ 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 Margin18.3%18.3%16.7%16.8%16.9%17.2%19.8%22.4%20.7%18.8%14.6%
Operating Margin0.8%0.8%-0.5%6.0%4.8%3.6%6.3%8.1%9.7%7.9%3.3%
Net Profit Margin-1.9%-1.9%0.6%3.6%3.2%1.8%4.2%5.4%6.3%2.9%2.3%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE-2.5%-2.5%0.9%9.1%10.8%4.7%8.8%12.7%20.3%10.2%7.5%
ROA-0.7%-0.7%0.3%2.6%2.9%1.4%2.4%3.3%4.4%1.8%1.3%
ROIC0.4%0.4%-0.3%5.9%5.4%3.7%5.6%6.8%9.1%7.0%2.8%
ROCE0.5%0.5%-0.4%9.2%10.0%6.0%8.3%12.0%19.6%15.5%5.4%

CSIQ Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity1.801.801.421.211.751.531.531.751.722.352.71
Debt / EBITDA12.8412.8412.545.896.736.896.615.714.426.7512.88
Net Debt / Equity—1.350.880.681.331.120.660.921.371.822.14
Net Debt / EBITDA9.649.647.763.345.105.052.872.983.525.2310.17
Debt / FCF————10.61——4.22———
Interest Coverage0.210.210.404.585.803.382.873.213.822.142.26

CSIQ Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio0.930.930.971.041.071.180.960.861.040.991.02
Quick Ratio0.700.700.760.840.780.890.710.660.950.910.94
Cash Ratio0.330.330.400.330.190.220.460.390.150.140.14
Asset Turnover—0.370.440.640.830.710.530.590.770.580.53
Inventory Turnover3.383.384.145.374.073.663.174.1211.337.958.25
Days Sales Outstanding—86.6790.6357.9960.4161.3957.2967.5460.6551.6761.21

CSIQ 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———————0.1%0.3%0.9%—
Payout Ratio———————0.7%1.3%9.6%—

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield——4.9%14.8%11.1%4.7%4.6%12.9%26.6%10.0%9.2%
FCF Yield————13.1%——23.0%———
Buyback Yield9.1%4.4%0.0%0.0%0.0%0.0%0.2%0.9%0.0%0.0%0.0%
Total Shareholder Yield9.1%4.4%0.0%0.0%0.0%0.0%0.2%1.0%0.3%0.9%0.0%
Shares Outstanding—$67M$67M$72M$71M$69M$62M$61M$62M$62M$58M

Key Metrics

Growth RegimeContracting
ProfitabilityWeak
Balance SheetStrained
Cash FlowBurning
Top Statement Risk

Leverage amid operational cash burn

Margin Collapse Signals Structural Strain

Canadian Solar's operating margin has deteriorated to -5.9% in 2026Q2, a stark reversal from the 7.5% peak in 2025Q2, indicating that high fixed costs and pricing pressure are overwhelming manufacturing efficiencies.

The gross margin's extreme volatility, from 29.8% to 13.9% in a single year, underscores the company's vulnerability to polysilicon price swings and module oversupply. The collapse in operating margin to negative territory suggests that SG&A and R&D expenses are not scaling down with revenue, creating severe negative operating leverage that is now eroding the equity base.

Capital Returns Turn Negative, Compounding Erosion

ROIC has swung from a positive 1.0% in 2025Q2 to -0.5% in 2026Q2, indicating the company is now destroying value on its invested capital base amid a severe industry downturn.

The negative ROIC trend, coupled with a negative ROE of -1.8%, confirms that the business is not generating sufficient returns to cover its cost of capital. This decay in returns is driven by both margin compression and the capital-intensive nature of maintaining a large manufacturing footprint and project pipeline during a period of weak demand.

Leverage Intensifies as Profitability Fades

The Debt/Equity ratio has climbed to 1.72 in 2026Q2 from 1.40 in 2024Q1, while interest coverage has turned negative at -1.12, suggesting debt service is becoming increasingly uncomfortable.

The rising leverage ratio, combined with a negative interest coverage ratio, indicates that the company's debt burden is growing more concerning as profitability deteriorates. This trend limits financial flexibility and raises refinancing risk, particularly if the sector downturn persists and project asset valuations come under pressure.

Working Capital Cycle Lengthens, Tying Up Cash

The Cash Conversion Cycle has expanded to 109 days in 2026Q2 from 95 days in 2024Q4, driven by a sharp increase in Days Inventory Outstanding to 139 days, indicating significant cash is tied up in unsold stock.

The lengthening CCC, particularly the surge in DIO, suggests inventory is moving more slowly, likely due to weak demand and oversupply in the module market. This inefficiency is a major contributor to the severe negative free cash flow, as working capital changes have been a significant source of cash consumption.

Deep Value Discount Amidst Operational Distress

The P/B ratio of 0.21 and P/S of 0.16 appear to price Canadian Solar as a distressed manufacturer, yet the EV/EBITDA of 11.14 suggests the market is still assigning some value to its project pipeline and future earnings potential.

The valuation multiples present a mixed signal: the extremely low price-to-book and price-to-sales ratios reflect the market's focus on current losses and negative net margins. However, the positive EV/EBITDA indicates that the enterprise value is not solely driven by equity, and the market may be pricing in the optionality of the Recurrent Energy project pipeline and e-STORAGE business, albeit at a significant discount to historical levels.

The Most Misapplied Ratio: Price-to-Book

The P/B ratio of 0.21 is the most commonly misapplied metric for Canadian Solar, as it obscures the significant value embedded in its project development pipeline and the capital-intensive nature of its business model.

For a company like Canadian Solar, which holds a substantial portfolio of project assets at cost on its balance sheet, the P/B ratio is misleading. These assets may be worth significantly more or less than their book value depending on interest rates and project IRRs, making the ratio a poor indicator of intrinsic value. A more appropriate metric would be EV/EBITDA or a sum-of-the-parts analysis that separately values the manufacturing and project development segments.

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Includes 30+ ratios · 23 years · Updated daily

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CSIQ — Frequently Asked Questions

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

What is Canadian Solar Inc.'s P/E ratio?

Canadian Solar Inc.'s current P/E ratio is -7.3x. The historical average is 16.7x.

What is Canadian Solar Inc.'s EV/EBITDA?

Canadian Solar Inc.'s current EV/EBITDA is 10.9x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 13.1x.

What is Canadian Solar Inc.'s ROE?

Canadian Solar Inc.'s return on equity (ROE) is -2.5%. The historical average is 12.3%.

Is CSIQ stock overvalued?

Based on historical data, Canadian Solar Inc. is trading at a P/E of -7.3x. Compare with industry peers and growth rates for a complete picture.

What are Canadian Solar Inc.'s profit margins?

Canadian Solar Inc. has 18.3% gross margin and 0.8% operating margin.

How much debt does Canadian Solar Inc. have?

Canadian Solar Inc.'s Debt/EBITDA ratio is 12.8x, indicating high leverage. A ratio above 4x may signal elevated financial risk.