Latest Ratios: P/E Ratio 25.1x · EV/EBITDA 20.9x · ROE 41.6%. (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 | $48.4B | $40.1B | $31.0B | $23.2B | $23.1B | $43.4B | $36.1B | $30.9B | $27.8B | $40.2B | $34.0B |
| Enterprise Value | $53.9B | $45.6B | $36.1B | $29.5B | $30.4B | $51.4B | $43.1B | $38.4B | $34.8B | $48.0B | $41.1B |
| P/E Ratio → | 25.14 | 20.07 | 15.72 | 8.40 | — | 3.19 | 6.37 | 17.28 | 11.01 | — | 4.68 |
| P/S Ratio | 4.36 | 3.61 | 3.02 | 2.30 | 2.36 | 4.16 | 4.06 | 4.16 | 3.22 | 4.05 | 3.65 |
| P/B Ratio | 10.87 | 8.68 | 6.02 | 3.63 | 4.49 | 4.43 | 10.13 | 10.77 | 4.43 | 4.98 | 3.22 |
| P/FCF | 29.16 | 24.12 | 15.87 | 11.80 | 12.82 | 19.59 | 18.74 | 12.06 | 13.86 | 16.19 | 15.44 |
| P/OCF | 22.16 | 18.33 | 12.86 | 9.58 | 10.27 | 16.32 | 14.92 | 9.93 | 10.47 | 12.76 | 12.02 |
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 | — | 4.11 | 3.51 | 2.91 | 3.10 | 4.93 | 4.84 | 5.16 | 4.03 | 4.84 | 4.42 |
| EV / EBITDA | 20.95 | 17.70 | 13.68 | 12.57 | 10.88 | 15.00 | 13.38 | 16.19 | 14.59 | 16.34 | 13.66 |
| EV / EBIT | 23.69 | 17.85 | 14.25 | 7.42 | — | 77.04 | 11.80 | 19.54 | 13.44 | 18.71 | 10.60 |
| EV / FCF | — | 27.44 | 18.48 | 14.96 | 16.83 | 23.22 | 22.37 | 14.97 | 17.35 | 19.37 | 18.68 |
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 | 71.5% | 71.5% | 72.0% | 72.0% | 72.6% | 74.6% | 79.8% | 78.7% | 76.6% | 77.6% | 78.4% |
| Operating Margin | 20.5% | 20.5% | 22.5% | 19.2% | 24.0% | 28.1% | 29.6% | 23.8% | 20.3% | 22.8% | 25.0% |
| Net Profit Margin | 18.3% | 18.3% | 19.2% | 27.4% | -13.0% | 130.6% | 63.7% | 24.0% | 29.2% | -10.2% | 78.1% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 41.6% | 41.6% | 34.2% | 47.9% | -17.0% | 204.0% | 176.2% | 39.0% | 35.3% | -10.9% | 84.9% |
| ROA | 11.0% | 11.0% | 9.6% | 13.0% | -5.3% | 59.2% | 30.2% | 8.7% | 10.4% | -4.1% | 34.9% |
| ROIC | 16.8% | 16.8% | 15.2% | 11.6% | 11.7% | 15.5% | 19.0% | 11.2% | 9.0% | 10.1% | 12.0% |
| ROCE | 17.4% | 17.4% | 15.3% | 11.5% | 12.2% | 15.7% | 17.9% | 10.9% | 8.6% | 10.7% | 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 | 1.60 | 1.60 | 1.52 | 1.29 | 1.83 | 0.96 | 2.31 | 2.92 | 1.47 | 1.24 | 0.85 |
| Debt / EBITDA | 2.86 | 2.86 | 2.98 | 3.51 | 3.37 | 2.75 | 2.55 | 3.53 | 3.87 | 3.41 | 2.98 |
| Net Debt / Equity | — | 1.19 | 0.99 | 0.97 | 1.40 | 0.82 | 1.96 | 2.60 | 1.12 | 0.98 | 0.68 |
| Net Debt / EBITDA | 2.14 | 2.14 | 1.93 | 2.65 | 2.59 | 2.34 | 2.17 | 3.14 | 2.94 | 2.68 | 2.37 |
| Debt / FCF | — | 3.32 | 2.61 | 3.16 | 4.01 | 3.63 | 3.62 | 2.91 | 3.49 | 3.18 | 3.24 |
| Interest Coverage | 10.38 | 10.38 | 9.80 | 15.10 | -5.81 | 2.48 | 12.00 | 9.86 | 7.58 | 8.79 | 17.23 |
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 | 1.10 | 1.10 | 1.24 | 2.44 | 2.18 | 1.97 | 1.80 | 1.16 | 1.60 | 2.18 | 2.31 |
| Quick Ratio | 1.10 | 1.10 | 1.24 | 2.44 | 2.18 | 1.97 | 1.80 | 1.16 | 1.60 | 2.18 | 2.31 |
| Cash Ratio | 0.63 | 0.63 | 1.02 | 1.99 | 1.76 | 1.58 | 0.87 | 0.68 | 1.10 | 1.65 | 1.86 |
| Asset Turnover | — | 0.63 | 0.53 | 0.47 | 0.47 | 0.39 | 0.46 | 0.41 | 0.38 | 0.38 | 0.39 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | 52.91 | 33.61 | 43.53 | 36.33 | 27.29 | 26.76 | 57.98 | 58.32 | 49.93 | 46.40 |
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 | 1.1% | 1.3% | 1.7% | 2.3% | 2.1% | 1.1% | 1.2% | 1.5% | — | — | — |
| Payout Ratio | 26.1% | 26.1% | 27.0% | 19.1% | — | 3.4% | 7.9% | 26.5% | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.0% | 5.0% | 6.4% | 11.9% | — | 31.4% | 15.7% | 5.8% | 9.1% | — | 21.4% |
| FCF Yield | 3.4% | 4.1% | 6.3% | 8.5% | 7.8% | 5.1% | 5.3% | 8.3% | 7.2% | 6.2% | 6.5% |
| Buyback Yield | 5.2% | 6.2% | 10.1% | 6.0% | 13.6% | 16.3% | 14.2% | 16.1% | 16.2% | 6.8% | 8.7% |
| Total Shareholder Yield | 6.2% | 7.6% | 11.9% | 8.3% | 15.7% | 17.3% | 15.5% | 17.6% | 16.2% | 6.8% | 8.7% |
| Shares Outstanding | — | $460M | $501M | $533M | $558M | $652M | $718M | $856M | $991M | $1.1B | $1.1B |
Includes 30+ ratios · 29 years · Updated daily
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Quick answers to the most common questions about buying EBAY stock.
eBay Inc.'s current P/E ratio is 25.1x. The historical average is 23.2x. This places it at the 74th percentile of its historical range.
eBay Inc.'s current EV/EBITDA is 20.9x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 14.3x.
eBay Inc.'s return on equity (ROE) is 41.6%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 34.7%.
Based on historical data, eBay Inc. is trading at a P/E of 25.1x. This is at the 74th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
eBay Inc.'s current dividend yield is 1.06% with a payout ratio of 26.1%.
eBay Inc. has 71.5% gross margin and 20.5% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
eBay Inc.'s Debt/EBITDA ratio is 2.9x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.
Key Metrics
Top Statement Risk
Competitive pressure from low-cost platforms
Metrics are mathematically derived from official filings.
Margin Expansion Driven by Take Rate
According to recent financial statements, eBay's operating margin expanded to 21.6% in Q2 2026 from 17.7% a year earlier, while gross margin held at 73.5%, indicating pricing power and cost discipline.
The operating margin improvement is notable because it occurred despite a 14.8% revenue increase, suggesting that the company is leveraging its fixed cost base. The gross margin stability at around 73% reflects the asset-light marketplace model, but the shift toward labor-intensive authentication services may pressure this metric over time. Net margin of 17.5% in Q2 2026 is supported by a lower tax rate and buyback-driven EPS growth, but investors should monitor whether margin expansion is sustainable as competition intensifies.
ROIC Creeps Higher on Efficiency Gains
Based on reported figures, ROIC improved to 5.6% in Q2 2026 from 3.5% in Q2 2024, while ROE rose to 12.1% from 3.8%, reflecting better capital efficiency despite a shrinking equity base.
The improvement in ROIC is driven by higher operating margins and a modest increase in asset turnover, which rose from 0.12 to 0.17 over the period. However, the absolute ROIC remains low relative to peers like Etsy (39.4%) and Amazon (14.7%), indicating that eBay's capital-light model generates lower returns per dollar of invested capital. The rising ROE is partly a function of aggressive buybacks that reduce equity, so investors should distinguish between operational improvement and financial engineering.
Working Capital Swings Distort Efficiency
Per SEC filings, eBay's cash conversion cycle is not calculable due to missing inventory data, but DSO rose to 57 days in Q2 2026 from 36 days in Q4 2024, while DPO swung from 99 to 36 days, indicating timing distortions.
The increase in DSO suggests slower collection of receivables, possibly due to the mix of payment processing, but the sharp drop in DPO from 103 days in Q1 2026 to 36 days in Q2 2026 indicates a significant change in payment terms with suppliers. These swings are likely driven by the timing of payables related to seller payouts, which are a function of the managed payments transition. Asset turnover remains low at 0.17, reflecting the asset-light model, but the working capital volatility warrants close monitoring as it can obscure underlying cash generation.
Leverage Creeps Higher as Equity Shrinks
As reported in financial statements, eBay's debt-to-equity ratio rose to 1.53 in Q2 2026 from 1.31 in Q1 2024, even as total debt fell from $8.2B to $7.1B, because equity contracted faster due to buybacks.
The rising D/E ratio is a direct consequence of the aggressive share repurchase program, which reduced equity from $6.3B to $4.7B over the period. Interest coverage remains comfortable at 11.23x in Q2 2026, up from 6.05x in Q2 2024, indicating that debt service is not a near-term concern. However, the trend of equity erosion could become a risk if earnings decline, as the leverage ratio would rise further. Investors should monitor whether the company maintains its investment-grade profile while continuing to return capital.
Liquidity Buffer Thins but Remains Adequate
Based on reported data, eBay's current ratio fell to 1.02 in Q2 2026 from 1.99 in Q1 2024, while cash dropped to $2.3B, indicating a thinner short-term buffer but still above 1.0.
The decline in the current ratio reflects a deliberate strategy to return cash to shareholders rather than hold it on the balance sheet. The quick ratio is identical to the current ratio at 1.02, indicating that inventory is not a significant component, consistent with the marketplace model. Under a severe stress scenario, the company's ability to cover short-term obligations would rely on operating cash flow, which has been robust but volatile. The low cash balance relative to debt ($7.1B) suggests that refinancing risk is manageable given the strong interest coverage, but the margin of safety has narrowed.
Misapplied P/E Overlooks Buyback Distortion
The most commonly misapplied ratio for eBay is the P/E multiple, which is distorted by aggressive share repurchases that inflate EPS growth; a more accurate measure is EV/EBITDA, which adjusts for capital structure.
The trailing P/E of 23.77 appears reasonable, but the forward P/E of 16.88 implies a significant earnings growth expectation that is partly driven by buybacks rather than operational performance. Since the company has reduced share count substantially, EPS growth overstates underlying profitability. EV/EBITDA of 19.92 is more appropriate because it neutralizes the impact of debt and cash, providing a cleaner comparison to peers like Amazon (19.84) and Etsy (19.72). Investors should focus on EV/EBITDA and free cash flow yield to assess valuation, as P/E can be misleading in a capital-return-heavy business.