Latest Ratios: P/E Ratio 26.9x · EV/EBITDA 14.4x · ROE 12.1%. (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 | $1.7B | $1.3B | $1.6B | $1.4B | $1.3B | $1.2B | $1.1B | $993M | $869M | $861M | $745M |
| Enterprise Value | $1.7B | $1.3B | $1.6B | $1.3B | $1.2B | $1.1B | $1.1B | $1.0B | $818M | $823M | $721M |
| P/E Ratio → | 26.92 | 19.58 | 27.90 | 22.78 | 21.31 | — | 32.39 | 27.53 | 18.63 | 59.88 | 21.75 |
| P/S Ratio | 3.10 | 2.36 | 3.14 | 2.51 | 2.17 | 2.31 | 2.64 | 2.12 | 1.85 | 2.03 | 1.88 |
| P/B Ratio | 3.18 | 2.32 | 3.05 | 2.62 | 2.51 | 2.56 | 2.64 | 2.45 | 2.30 | 2.50 | 2.34 |
| P/FCF | 19.49 | 14.79 | 20.08 | 18.65 | 11.89 | 16.84 | 18.06 | 23.28 | 29.30 | 21.54 | 27.89 |
| P/OCF | 16.49 | 12.51 | 16.31 | 15.55 | 10.49 | 13.78 | 14.57 | 15.43 | 14.95 | 14.83 | 15.78 |
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 | — | 2.43 | 3.19 | 2.39 | 2.08 | 2.18 | 2.61 | 2.18 | 1.74 | 1.94 | 1.82 |
| EV / EBITDA | 14.45 | 11.04 | 15.28 | 12.15 | 9.89 | 10.80 | 14.87 | 12.03 | 8.86 | 12.66 | 9.67 |
| EV / EBIT | 20.33 | 14.76 | 21.26 | 16.27 | 14.66 | — | 22.93 | 19.11 | 13.50 | 18.87 | 11.65 |
| EV / FCF | — | 15.25 | 20.37 | 17.74 | 11.45 | 15.89 | 17.89 | 23.92 | 27.58 | 20.61 | 27.01 |
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 | 38.5% | 38.5% | 36.5% | 34.2% | 35.7% | 35.7% | 33.0% | 33.4% | 35.9% | 33.4% | 35.4% |
| Operating Margin | 15.6% | 15.6% | 14.8% | 14.4% | 16.0% | 15.0% | 11.3% | 12.8% | 14.9% | 10.5% | 14.0% |
| Net Profit Margin | 12.0% | 12.0% | 11.3% | 11.0% | 10.2% | -8.2% | 8.2% | 7.7% | 9.9% | 3.4% | 8.7% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 12.1% | 12.1% | 11.0% | 11.7% | 12.3% | -9.4% | 8.4% | 9.2% | 12.9% | 4.4% | 11.5% |
| ROA | 8.5% | 8.5% | 7.7% | 8.1% | 8.4% | -6.5% | 5.5% | 6.1% | 8.6% | 2.7% | 6.9% |
| ROIC | 11.1% | 11.1% | 11.3% | 13.0% | 16.5% | 14.2% | 8.5% | 11.9% | 16.5% | 11.1% | 16.4% |
| ROCE | 12.8% | 12.8% | 11.7% | 12.4% | 15.8% | 14.3% | 9.0% | 12.2% | 15.9% | 10.4% | 13.9% |
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 | 0.22 | 0.22 | 0.22 | 0.18 | 0.22 | 0.16 | 0.19 | 0.31 | 0.13 | 0.22 | 0.28 |
| Debt / EBITDA | 1.02 | 1.02 | 1.09 | 0.90 | 0.88 | 0.72 | 1.09 | 1.50 | 0.54 | 1.17 | 1.21 |
| Net Debt / Equity | — | 0.07 | 0.04 | -0.13 | -0.09 | -0.14 | -0.03 | 0.07 | -0.13 | -0.11 | -0.07 |
| Net Debt / EBITDA | 0.33 | 0.33 | 0.21 | -0.62 | -0.38 | -0.64 | -0.14 | 0.32 | -0.55 | -0.57 | -0.32 |
| Debt / FCF | — | 0.46 | 0.28 | -0.90 | -0.44 | -0.95 | -0.17 | 0.64 | -1.72 | -0.93 | -0.89 |
| Interest Coverage | 16.23 | 16.23 | 18.24 | 24.25 | 38.08 | -28.19 | 14.77 | 20.17 | 29.07 | 13.05 | 16.71 |
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 | 2.30 | 2.30 | 2.50 | 3.29 | 2.89 | 2.53 | 2.22 | 2.45 | 2.30 | 2.28 | 2.20 |
| Quick Ratio | 1.82 | 1.82 | 1.95 | 2.67 | 2.34 | 2.10 | 1.79 | 2.01 | 1.88 | 1.92 | 1.91 |
| Cash Ratio | 0.75 | 0.75 | 0.97 | 1.69 | 1.39 | 1.24 | 0.87 | 1.03 | 0.97 | 1.11 | 1.16 |
| Asset Turnover | — | 0.71 | 0.67 | 0.74 | 0.78 | 0.77 | 0.68 | 0.73 | 0.86 | 0.79 | 0.77 |
| Inventory Turnover | 6.31 | 6.31 | 6.11 | 6.04 | 6.06 | 6.66 | 6.20 | 7.39 | 6.93 | 7.71 | 8.95 |
| Days Sales Outstanding | — | 59.31 | 54.98 | 52.09 | 56.56 | 58.49 | 69.68 | 60.71 | 61.74 | 60.84 | 57.59 |
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 | 0.3% | 0.4% | 0.3% | 0.4% | 0.4% | 0.4% | 0.5% | 0.5% | 0.6% | 0.6% | 0.7% |
| Payout Ratio | 7.3% | 7.3% | 8.4% | 8.3% | 8.6% | — | 14.9% | 14.5% | 11.4% | 36.4% | 15.2% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 3.7% | 5.1% | 3.6% | 4.4% | 4.7% | — | 3.1% | 3.6% | 5.4% | 1.7% | 4.6% |
| FCF Yield | 5.1% | 6.8% | 5.0% | 5.4% | 8.4% | 5.9% | 5.5% | 4.3% | 3.4% | 4.6% | 3.6% |
| Buyback Yield | 3.3% | 4.4% | 2.6% | 3.0% | 1.7% | 0.7% | 0.7% | 1.2% | 1.1% | 0.2% | 0.2% |
| Total Shareholder Yield | 3.6% | 4.8% | 2.9% | 3.3% | 2.1% | 1.2% | 1.2% | 1.7% | 1.7% | 0.8% | 0.9% |
| Shares Outstanding | — | $30M | $31M | $32M | $32M | $32M | $33M | $33M | $34M | $33M | $33M |
Includes 30+ ratios · 30 years · Updated daily
Live VCP patterns, Cup & Handle overlays, support/resistance, and AI trade plans.
High-probability breakout stocks crossing their pivot across 5 pattern engines.
DCF models, multiple analysis, and analyst estimates.
10-year return with dividends reinvested.
Compare growth, multiples, and margins vs sector.
Quick answers to the most common questions about buying CTS stock.
CTS Corporation's current P/E ratio is 26.9x. The historical average is 25.5x. This places it at the 72th percentile of its historical range.
CTS Corporation's current EV/EBITDA is 14.4x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 10.5x.
CTS Corporation's return on equity (ROE) is 12.1%. The historical average is 8.5%.
Based on historical data, CTS Corporation is trading at a P/E of 26.9x. This is at the 72th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
CTS Corporation's current dividend yield is 0.27% with a payout ratio of 7.3%.
CTS Corporation has 38.5% gross margin and 15.6% operating margin. Operating margin between 10-20% is typical for established companies.
CTS Corporation's Debt/EBITDA ratio is 1.0x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.
Key Metrics
Top Statement Risk
EV adoption slowdown
Metrics are mathematically derived from official filings.
Margin Mix Shift Drives Expansion
Gross margin expanded to 41.5% in 2026Q2 from 39.1% a year earlier, according to reported financials, while operating margin reached 18.5%, suggesting a favorable mix shift toward higher-margin medical and aerospace components.
The sequential improvement in gross margin from 38.5% in 2026Q1 to 41.5% in 2026Q2, alongside a 340 basis point year-over-year operating margin gain, appears to reflect both operating leverage and a deliberate pivot away from lower-margin automotive volume. Net margin of 13.3% in 2026Q2, however, lags the operating margin trajectory, implying that non-operating items or tax effects are dampening bottom-line conversion. Investors should monitor whether this margin expansion is sustainable as the company continues to diversify its revenue base.
ROIC Trapped by Asset Base
ROIC improved to 3.5% in 2026Q2 from 3.1% a year earlier, based on reported figures, but remains modest relative to the company's 15.6% operating margin, suggesting that capital efficiency is constrained by a growing asset base.
Despite strong margins, ROIC hovers in the low single digits, indicating that the balance sheet is absorbing capital faster than earnings can compound. The increase in goodwill to $208.1M, up 33% from two years ago, as per the balance sheet, may be diluting returns on invested capital, as acquisitions have yet to generate proportional operating income. This divergence between margin strength and capital returns warrants scrutiny, as it may signal that the company is prioritizing growth investments over near-term return optimization.
Working Capital Stretch Signals Leverage
Cash conversion cycle extended to 69 days in 2026Q2 from 64 days a year earlier, according to financial statements, driven by a rise in days inventory outstanding to 63, suggesting potential inventory build-up ahead of anticipated demand.
The CCC expansion is primarily attributable to DIO increasing from 61 to 63 days year-over-year, while DSO remained stable at 60 days and DPO rose to 54 days. This indicates that CTS is holding more inventory, possibly to buffer supply chain disruptions or in anticipation of higher sales, but it also ties up cash. The modest improvement in DPO suggests the company is not aggressively stretching supplier payments, which may reflect its fortress balance sheet and low leverage.
Minimal Debt Masks Strategic Flexibility
Debt-to-equity stands at 0.20 in 2026Q2, with interest coverage of 38.3x, according to reported balance sheet data, indicating a fortress balance sheet that provides ample capacity for strategic acquisitions or shareholder returns.
The exceptionally low leverage, with D/EBITDA at 3.25, suggests that CTS has significant borrowing headroom, which could be deployed for bolt-on acquisitions in high-margin niches. However, the low debt levels also imply that management is conservative in capital allocation, potentially forgoing aggressive growth opportunities. The high interest coverage ratio of 38.3x underscores the minimal risk of debt service distress, but investors should monitor whether this conservatism limits value creation in fragmented markets.
Liquidity Buffer Remains Robust
Current ratio improved to 2.61 in 2026Q2 from 2.30 a year earlier, as per the balance sheet, with quick ratio at 2.07, indicating a strong liquidity position that can withstand operational stress.
The liquidity position is reinforced by a cash balance of $107.5M and a current ratio well above 2, suggesting that CTS can comfortably meet short-term obligations even if automotive demand weakens. The quick ratio of 2.07, which excludes inventory, indicates that the company is not overly reliant on inventory liquidation to cover liabilities. This buffer provides resilience against potential supply chain disruptions or demand shocks, though the elevated inventory levels may signal a deliberate build-up.
P/E Misleads on Earnings Quality
The trailing P/E of 29.28 appears elevated, but the forward P/E of 23.57 and EV/EBITDA of 15.68, based on reported multiples, suggest the market is pricing in a normalization of earnings after a one-time EPS spike.
The most commonly misapplied ratio for CTS is the P/E, as the dramatic EPS beat in 2026Q2 ($2.58 actual vs. $0.68 estimate) likely includes non-recurring gains that inflate trailing earnings. A more appropriate metric is EV/EBITDA, which at 15.68 is more reflective of the company's operating cash generation and less distorted by one-time items. Investors should also consider the forward EV/EBITDA of 7.27, which implies a significant expected improvement in EBITDA, but this may be overly optimistic given the lack of formal guidance.