Latest Ratios: P/E Ratio 11.5x · EV/EBITDA 6.6x · ROE 16.2%. (1997–2025 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 | $6.2B | $9.2B | $10.0B | $10.0B | $9.7B | $9.7B | $7.6B | $9.1B | $9.5B | $9.5B | $8.7B |
| Enterprise Value | $6.7B | $9.7B | $10.4B | $10.3B | $9.9B | $9.9B | $7.7B | $8.6B | $9.1B | $8.8B | $8.2B |
| P/E Ratio → | 11.46 | 16.25 | 20.58 | 18.82 | 17.89 | 14.23 | 15.47 | 19.05 | 26.71 | 21.73 | 21.35 |
| P/S Ratio | 1.37 | 2.02 | 1.99 | 2.05 | 2.12 | 2.26 | 1.83 | 2.22 | 2.39 | 2.45 | 2.35 |
| P/B Ratio | 1.86 | 2.64 | 2.85 | 2.81 | 2.72 | 2.67 | 2.09 | 2.56 | 2.72 | 2.65 | 2.53 |
| P/FCF | 9.65 | 14.21 | 16.11 | 14.34 | 18.29 | 13.54 | 16.90 | 17.16 | 29.08 | 18.86 | 17.84 |
| P/OCF | 8.31 | 12.24 | 13.76 | 12.17 | 12.80 | 10.46 | 11.62 | 13.82 | 17.01 | 14.91 | 14.10 |
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 | — | 2.13 | 2.08 | 2.11 | 2.17 | 2.30 | 1.85 | 2.10 | 2.28 | 2.28 | 2.20 |
| EV / EBITDA | 6.60 | 9.49 | 12.67 | 12.12 | 11.17 | 12.21 | 9.71 | 11.08 | 14.17 | 12.06 | 11.77 |
| EV / EBIT | 8.17 | 13.22 | 16.63 | 15.62 | 14.94 | 11.80 | 12.97 | 15.03 | 21.36 | 17.17 | 16.81 |
| EV / FCF | — | 14.99 | 16.82 | 14.75 | 18.77 | 13.78 | 17.01 | 16.27 | 27.79 | 17.57 | 16.68 |
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 | 36.6% | 36.6% | 35.1% | 35.3% | 35.4% | 34.5% | 33.9% | 35.1% | 34.7% | 35.2% | 35.2% |
| Operating Margin | 18.2% | 18.2% | 12.6% | 13.4% | 14.5% | 14.0% | 14.3% | 13.9% | 10.8% | 13.4% | 13.0% |
| Net Profit Margin | 12.5% | 12.5% | 9.9% | 11.1% | 12.0% | 16.1% | 11.9% | 11.7% | 8.9% | 11.3% | 11.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 16.2% | 16.2% | 14.0% | 15.2% | 15.3% | 18.9% | 13.8% | 13.6% | 10.0% | 12.4% | 11.9% |
| ROA | 8.9% | 8.9% | 7.7% | 8.4% | 8.5% | 10.7% | 8.6% | 9.0% | 6.7% | 8.2% | 7.7% |
| ROIC | 15.6% | 15.6% | 12.1% | 12.8% | 13.1% | 11.9% | 13.1% | 13.9% | 10.7% | 13.4% | 13.2% |
| ROCE | 16.8% | 16.8% | 12.6% | 12.8% | 12.9% | 11.6% | 12.9% | 14.0% | 10.5% | 12.8% | 12.2% |
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 | 0.24 | 0.24 | 0.23 | 0.23 | 0.23 | 0.24 | 0.28 | — | — | — | 0.06 |
| Debt / EBITDA | 0.81 | 0.81 | 0.96 | 0.95 | 0.93 | 1.09 | 1.30 | — | — | — | 0.29 |
| Net Debt / Equity | — | 0.14 | 0.13 | 0.08 | 0.07 | 0.05 | 0.01 | -0.13 | -0.12 | -0.18 | -0.16 |
| Net Debt / EBITDA | 0.49 | 0.49 | 0.54 | 0.34 | 0.28 | 0.21 | 0.06 | -0.61 | -0.65 | -0.89 | -0.82 |
| Debt / FCF | — | 0.78 | 0.72 | 0.41 | 0.48 | 0.24 | 0.11 | -0.89 | -1.28 | -1.29 | -1.16 |
| Interest Coverage | 17.24 | 17.24 | 17.94 | 28.56 | 39.34 | 39.28 | 56.94 | 146.20 | 153.51 | 321.57 | 291.76 |
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 | 1.17 | 1.17 | 1.20 | 1.41 | 1.60 | 1.59 | 1.71 | 1.39 | 1.33 | 1.75 | 1.54 |
| Quick Ratio | 1.17 | 1.17 | 1.20 | 1.41 | 1.60 | 1.59 | 1.71 | 1.39 | 1.33 | 1.75 | 1.54 |
| Cash Ratio | 0.24 | 0.24 | 0.35 | 0.55 | 0.65 | 0.74 | 0.81 | 0.39 | 0.40 | 0.84 | 0.80 |
| Asset Turnover | — | 0.73 | 0.78 | 0.76 | 0.72 | 0.66 | 0.66 | 0.77 | 0.74 | 0.73 | 0.70 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | 75.35 | 75.00 | 70.53 | 75.51 | 73.77 | 75.38 | 88.23 | 89.21 | 81.65 | 80.35 |
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 | 3.5% | 2.4% | 2.1% | 2.0% | 1.9% | 1.8% | 2.1% | 1.6% | 1.4% | 1.3% | 1.2% |
| Payout Ratio | 39.7% | 39.7% | 43.0% | 36.9% | 33.9% | 25.8% | 33.0% | 30.8% | 37.9% | 27.8% | 26.7% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 8.7% | 6.2% | 4.9% | 5.3% | 5.6% | 7.0% | 6.5% | 5.2% | 3.7% | 4.6% | 4.7% |
| FCF Yield | 10.4% | 7.0% | 6.2% | 7.0% | 5.5% | 7.4% | 5.9% | 5.8% | 3.4% | 5.3% | 5.6% |
| Buyback Yield | 8.9% | 6.0% | 5.6% | 4.9% | 5.3% | 7.0% | 4.7% | 4.4% | 4.4% | 3.6% | 4.7% |
| Total Shareholder Yield | 12.3% | 8.5% | 7.8% | 6.9% | 7.2% | 8.9% | 6.9% | 6.0% | 5.8% | 4.9% | 6.0% |
| Shares Outstanding | — | $112M | $114M | $118M | $122M | $128M | $133M | $137M | $144M | $147M | $151M |
Includes 30+ ratios · 29 years · Updated daily
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Quick answers to the most common questions about buying DOX stock.
Amdocs Limited's current P/E ratio is 11.5x. The historical average is 24.3x.
Amdocs Limited's current EV/EBITDA is 6.6x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 13.4x.
Amdocs Limited's return on equity (ROE) is 16.2%. The historical average is 20.9%.
Based on historical data, Amdocs Limited is trading at a P/E of 11.5x. Compare with industry peers and growth rates for a complete picture.
Amdocs Limited's current dividend yield is 3.47% with a payout ratio of 39.7%.
Amdocs Limited has 36.6% gross margin and 18.2% operating margin. Operating margin between 10-20% is typical for established companies.
Amdocs Limited's Debt/EBITDA ratio is 0.8x, indicating low leverage. A ratio below 2x is generally considered financially healthy.
Key Metrics
Top Statement Risk
Sustained revenue contraction in core vertical
Valuation Discount Reflects Growth Concerns
DOX trades at a significant discount to peers with a forward P/E of 8.48 and EV/EBITDA of 6.01, suggesting the market is pricing in the sustained -9.4% YoY revenue contraction and limited near-term growth visibility.
The valuation multiples, particularly the PEG ratio of 1.96, indicate the market is not pricing in meaningful earnings growth, which aligns with the recent revenue trajectory. Compared to peers like EPAM (P/E 17.08) and Cognizant (P/E 14.07), DOX's discount appears to reflect its lower growth profile and higher perceived risk from telecom sector cyclicality. The low forward multiples may offer a margin of safety, but only if the revenue decline proves cyclical rather than structural.
Margin Resilience Amidst Top-Line Pressure
Despite a -9.4% YoY revenue decline, gross margin expanded to 39.8% in 2026Q3, suggesting improved project mix or cost discipline, though the persistent gap between operating margin (18.0%) and net margin (5.3%) warrants scrutiny of earnings quality.
The gross margin recovery from a low of 34.7% in 2024Q4 is a positive signal of operational control, likely driven by a shift toward higher-margin software components or better cost management in services delivery. However, the significant divergence between operating and net margin in the latest quarter implies substantial non-operating costs or tax effects are eroding bottom-line profitability. This fragility in net margin, as noted in prior analysis, suggests that reported earnings may not fully reflect the underlying operational performance.
Capital Efficiency Stagnates at Low Levels
ROIC has remained range-bound between 3.4% and 3.8% for the past six quarters, indicating the company is generating minimal returns on invested capital, a trend that appears structural given the low asset turnover of 0.18.
The stagnant ROIC, well below the cost of capital for most technology firms, suggests the business model is not creating significant economic value from its invested base. This is primarily driven by the low asset turnover, which reflects the capital-intensive nature of its managed services contracts and the large goodwill balance from past acquisitions. The lack of improvement in ROIC despite margin expansion indicates that efficiency gains are being offset by the revenue contraction and the high fixed-cost base.
Leverage Uptick from a Conservative Base
While the D/E ratio has increased to 0.33 from 0.22 over the past year, this remains conservative relative to peers like CSGS (2.07), and interest coverage of 7.42x suggests debt service remains comfortable despite the recent increase in borrowing.
The increase in leverage appears strategic rather than distress-driven, likely used to fund shareholder returns or acquisitions given the concurrent decline in cash reserves. The current debt level is manageable, but the trend warrants monitoring, especially if revenue contraction persists and free cash flow generation weakens. The low leverage provides a buffer, but the company's ability to service this debt could become more sensitive if operating margins come under pressure.
Liquidity Position Tightens Below Threshold
The current ratio has fallen below 1.0 to 0.94 in 2026Q3, with cash reserves at $206.5M against a $4.5B revenue base, indicating a tighter near-term liquidity profile that could become a vulnerability under severe stress.
The breach of the 1.0 current ratio threshold is a notable deterioration from the 1.32 level seen in 2024Q2, driven by both the increase in current debt and the reduction in cash. While the company's low leverage and stable cash flows from managed services provide some comfort, this tighter position reduces financial flexibility. Investors should monitor whether this is a temporary working capital swing or a more permanent shift in the company's liquidity management.
The Misapplied Metric: Return on Equity
ROE is the ratio most commonly misapplied to DOX, as its headline figure of 16.2% is artificially inflated by the company's low equity base and does not reflect the poor returns on total invested capital.
The ROE appears respectable at 16.2%, but this is a function of the company's conservative capital structure (low equity) rather than superior profitability. When viewed alongside the ROIC of 3.7% and ROA of 1.0%, it becomes clear that the business is not generating strong returns on the assets it employs. For a company with a significant goodwill balance and a services-heavy model, ROIC is a far more meaningful measure of value creation, and its low level suggests the market's discount may be justified.