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GMEDGlobus Medical, Inc.
$73.96$10.0B
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  4. Financial Ratios

Globus Medical, Inc. (GMED) Financial Ratios

Latest Ratios: P/E Ratio 18.9x · EV/EBITDA 16.0x · ROE 12.3%. (2010–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

GMED 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$10.0B$12.0B$11.4B$6.1B$7.6B$7.5B$6.6B$6.0B$4.4B$4.0B$2.4B
Enterprise Value$9.6B$11.6B$11.2B$6.2B$7.5B$7.3B$6.3B$5.8B$4.2B$3.9B$2.3B
P/E Ratio →18.8722.27110.2849.8040.1550.1464.5738.7428.1037.3622.97
P/S Ratio3.394.084.533.897.457.818.357.656.156.334.24
P/B Ratio2.222.622.731.534.134.304.374.283.704.162.88
P/FCF16.9420.3528.1436.9773.0134.1048.7359.3335.9637.1718.27
P/OCF13.2415.9021.9025.0942.7227.0833.1334.9224.1425.2213.92

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

GMED 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—3.944.433.937.317.618.047.405.956.144.12
EV / EBITDA15.9519.2926.5622.1725.2530.1436.4125.8520.1219.1512.05
EV / EBIT19.9418.9850.7830.5331.6637.4054.9632.8724.0023.9115.08
EV / FCF—19.6627.5337.2971.6233.2246.9657.4034.8136.0717.75

GMED 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 Margin67.4%67.4%58.9%65.1%74.2%75.0%72.4%77.1%77.6%76.3%76.1%
Operating Margin16.3%16.3%6.6%8.5%22.3%17.9%14.1%21.9%23.7%25.4%27.3%
Net Profit Margin18.3%18.3%4.1%7.8%18.6%15.6%13.0%19.8%21.9%16.9%18.5%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE12.3%12.3%2.5%4.2%10.6%9.2%7.0%12.0%14.5%11.9%13.5%
ROA10.2%10.2%2.0%3.4%9.4%8.2%6.4%11.0%13.2%10.7%11.8%
ROIC8.9%8.9%3.1%3.5%10.5%9.2%6.8%11.5%13.4%15.0%16.3%
ROCE10.4%10.4%3.7%4.0%12.2%10.2%7.5%13.1%15.5%17.7%19.3%

GMED Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity0.030.030.130.130.00——————
Debt / EBITDA0.200.201.281.870.02——————
Net Debt / Equity—-0.09-0.060.01-0.08-0.11-0.16-0.14-0.12-0.12-0.08
Net Debt / EBITDA-0.68-0.68-0.590.19-0.49-0.80-1.37-0.87-0.66-0.58-0.35
Debt / FCF—-0.69-0.610.32-1.38-0.88-1.77-1.93-1.15-1.10-0.51
Interest Coverage——52.45————————

Net cash position: cash ($526M) exceeds total debt ($119M)

GMED Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio4.264.262.544.886.186.176.806.176.566.676.43
Quick Ratio2.742.741.772.724.304.484.914.415.205.505.02
Cash Ratio1.121.121.041.322.803.163.532.803.534.023.63
Asset Turnover—0.550.480.310.490.490.470.510.550.590.61
Inventory Turnover1.261.261.570.650.881.010.950.921.211.391.20
Days Sales Outstanding—92.3683.79117.4977.5563.1168.5175.4973.9072.9261.99

GMED 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———————————
Payout Ratio———————————

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield5.3%4.5%0.9%2.0%2.5%2.0%1.5%2.6%3.6%2.7%4.4%
FCF Yield5.9%4.9%3.6%2.7%1.4%2.9%2.1%1.7%2.8%2.7%5.5%
Buyback Yield3.0%2.5%0.8%3.7%1.9%0.0%1.6%0.0%0.0%0.0%0.0%
Total Shareholder Yield3.0%2.5%0.8%3.7%1.9%0.0%1.6%0.0%0.0%0.0%0.0%
Shares Outstanding—$137M$138M$115M$103M$104M$101M$102M$101M$98M$96M

Key Metrics

Growth RegimeAccelerating
ProfitabilityStrong
Balance SheetFortress
Cash FlowRobust
Top Statement Risk

Integration execution risk

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q2)

Margin Expansion Signals Integration Synergies

Gross margin improved from 59.9% in Q4 2024 to 69.4% in Q2 2026, while operating margin rose to 23.1%, per reported financials, indicating strong operational leverage from the NuVasive integration.

The sequential improvement in gross margin from 63.3% in Q3 2025 to 69.4% in Q2 2026 suggests that product mix shifts and cost synergies are materializing faster than anticipated. Operating margin expansion from 10.2% in Q2 2025 to 23.1% in Q2 2026, despite a one-time tax benefit inflating net margin in Q2 2025, points to sustainable cost discipline. Investors should monitor whether this margin trajectory persists as Nevro integration costs phase out, as the 69.4% gross margin remains below historical peaks for premium spine players.

ROIC Recovery from Merger Depths

ROIC climbed from 0.9% in Q2 2024 to 3.2% in Q2 2026, as reported in quarterly filings, reflecting improved capital efficiency post-NuVasive, though still below pre-merger levels.

The sharp recovery in ROIC from near-zero levels in 2024 to 3.2% in Q2 2026 indicates that the capital deployed in the NuVasive acquisition is beginning to generate returns, driven by margin expansion rather than asset turnover, which remained flat at 0.14. However, ROIC remains well below the cost of capital, suggesting that the integration has yet to fully deliver on its promised synergies. The trend is encouraging but warrants monitoring to see if ROIC can approach the mid-teens levels typical of mature med-tech leaders.

Working Capital Drag from Field Inventory

Cash conversion cycle extended to 344 days in Q2 2026, driven by DIO of 298 days, per financial statements, reflecting the heavy consignment inventory required to support robotic-assisted procedures.

The CCC has remained persistently elevated, oscillating between 299 and 371 days over the past ten quarters, with DIO consistently above 240 days. This suggests that GMED's business model inherently requires significant field inventory, which ties up cash but is necessary to secure surgeon preference and drive implant pull-through. The slight improvement in DPO from 20 to 40 days indicates some supplier leverage, but the overall working capital intensity remains a structural feature rather than a temporary inefficiency. Investors should view the high DIO as a cost of the moat, not a red flag, unless inventory growth outpaces revenue for multiple quarters.

Near-Zero Leverage Enhances Flexibility

Debt-to-equity fell from 0.13 in Q4 2024 to 0.02 in Q2 2026, with D/EBITDA at 0.59, per balance sheet data, indicating a fortress balance sheet that supports aggressive capital deployment.

The rapid deleveraging post-NuVasive, with total debt reduced to $111.2M, provides GMED with substantial financial flexibility to fund further M&A or withstand operational shocks. Interest coverage data is unavailable for recent quarters, but the minimal debt load suggests coverage is ample. This low leverage is a competitive advantage in a rising rate environment, as it insulates GMED from financing cost pressures that could affect peers with higher debt levels.

Ample Liquidity Buffers Integration Risk

Current ratio improved to 4.62 in Q2 2026 from 2.33 in Q1 2024, with quick ratio at 2.93, per reported figures, indicating a robust liquidity position to absorb integration-related disruptions.

The current ratio's steady climb reflects both debt reduction and cash accumulation, with cash at $507.7M. The quick ratio of 2.93, excluding inventory, underscores that liquidity is not dependent on selling field inventory, which is reassuring given the high DIO. This buffer provides a cushion against potential sales force attrition or Nevro integration hiccups, as GMED can fund working capital needs without external financing.

Misapplied Metric: ROIC Understates Merger Value

ROIC is often misapplied to GMED because it penalizes the heavy goodwill from the NuVasive acquisition, obscuring the underlying cash-generative core business, as per balance sheet data.

With goodwill of $1.4B representing over 25% of total assets, ROIC is artificially depressed, making GMED appear less efficient than it truly is. A more appropriate metric is cash return on invested capital (CROIC), which uses operating cash flow instead of earnings and excludes goodwill. Based on reported figures, GMED's operating cash flow has consistently exceeded net income, with cumulative OCF of $1.69B versus net income of $0.92B over ten quarters, suggesting that the cash-generative core is stronger than ROIC implies. Investors should adjust for goodwill and non-cash charges to assess the true return on tangible capital.

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Includes 30+ ratios · 16 years · Updated daily

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GMED — Frequently Asked Questions

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

What is Globus Medical, Inc.'s P/E ratio?

Globus Medical, Inc.'s current P/E ratio is 18.9x. The historical average is 39.5x. This places it at the 7th percentile of its historical range.

What is Globus Medical, Inc.'s EV/EBITDA?

Globus Medical, Inc.'s current EV/EBITDA is 16.0x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 20.3x.

What is Globus Medical, Inc.'s ROE?

Globus Medical, Inc.'s return on equity (ROE) is 12.3%. The historical average is 13.6%.

Is GMED stock overvalued?

Based on historical data, Globus Medical, Inc. is trading at a P/E of 18.9x. This is at the 7th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What are Globus Medical, Inc.'s profit margins?

Globus Medical, Inc. has 67.4% gross margin and 16.3% operating margin. Operating margin between 10-20% is typical for established companies.

How much debt does Globus Medical, Inc. have?

Globus Medical, Inc.'s Debt/EBITDA ratio is 0.2x, indicating low leverage. A ratio below 2x is generally considered financially healthy.