Latest Ratios: P/E Ratio 7.1x · EV/EBITDA 5.4x · ROE 29.1%. (2002–2025 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 | $1.4B | $1.7B | $1.3B | $1.4B | $1.3B | $1.6B | $1.4B | $1.6B | $2.0B | $1.7B | $1.3B |
| Enterprise Value | $1.1B | $1.4B | $1.4B | $1.6B | $1.5B | $1.8B | $1.5B | $1.7B | $2.3B | $2.2B | $1.9B |
| P/E Ratio → | 7.12 | 6.06 | 48.19 | 7.29 | 5.59 | 6.01 | 6.13 | 9.90 | 4.94 | 12.13 | 20.19 |
| P/S Ratio | 3.19 | 3.99 | 3.59 | 4.49 | 3.81 | 4.15 | 4.18 | 6.15 | 7.58 | 7.83 | 9.87 |
| P/B Ratio | 1.38 | 1.44 | 1.86 | 2.06 | 2.23 | 3.09 | 2.31 | 4.69 | 12.44 | — | — |
| P/FCF | 7.77 | 9.09 | 6.83 | 9.91 | 6.26 | 4.49 | 4.49 | 6.24 | 8.85 | 12.00 | 21.72 |
| P/OCF | 7.16 | 8.60 | 6.82 | 9.88 | 6.26 | 4.47 | 4.49 | 6.24 | 8.85 | 12.00 | 21.62 |
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 | — | 3.32 | 4.00 | 5.31 | 4.57 | 4.64 | 4.59 | 6.53 | 8.81 | 10.25 | 14.35 |
| EV / EBITDA | 5.35 | 6.92 | 6.93 | 11.02 | 6.69 | 4.68 | 4.15 | 6.55 | 9.12 | 11.27 | 15.59 |
| EV / EBIT | 6.89 | 4.11 | 24.05 | 7.73 | 5.00 | 3.92 | 4.15 | 6.92 | 9.82 | 12.13 | 17.59 |
| EV / FCF | — | 7.58 | 7.61 | 11.72 | 7.51 | 5.02 | 4.94 | 6.62 | 10.29 | 15.71 | 31.57 |
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 | 72.3% | 72.3% | 89.8% | 86.3% | 95.8% | 100.0% | 100.0% | 100.0% | 100.0% | 99.4% | 99.0% |
| Operating Margin | 38.5% | 38.5% | 46.5% | 36.7% | 62.5% | 95.7% | 95.3% | 94.4% | 91.3% | 84.5% | 81.6% |
| Net Profit Margin | 63.8% | 63.8% | 6.5% | 57.9% | 64.6% | 67.8% | 66.6% | 60.3% | 151.4% | 61.8% | 44.6% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 29.1% | 29.1% | 3.4% | 29.0% | 39.2% | 46.9% | 47.2% | 62.8% | 248.4% | — | — |
| ROA | 18.5% | 18.5% | 1.8% | 14.5% | 19.8% | 27.6% | 26.0% | 24.7% | 86.3% | 35.9% | 14.8% |
| ROIC | 14.2% | 14.2% | 14.2% | 9.8% | 20.2% | 38.4% | 40.5% | 40.1% | 46.9% | 52.1% | 34.3% |
| ROCE | 12.4% | 12.4% | 14.7% | 9.9% | 20.5% | 39.2% | 37.5% | 39.0% | 54.5% | 53.1% | 28.3% |
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 | 0.23 | 0.23 | 0.65 | 0.67 | 0.96 | 0.75 | 0.63 | 1.10 | 2.41 | — | — |
| Debt / EBITDA | 1.32 | 1.32 | 2.18 | 3.00 | 2.40 | 1.01 | 1.03 | 1.45 | 1.52 | 3.03 | 5.82 |
| Net Debt / Equity | — | -0.24 | 0.21 | 0.38 | 0.45 | 0.37 | 0.23 | 0.29 | 2.01 | — | — |
| Net Debt / EBITDA | -1.38 | -1.38 | 0.71 | 1.71 | 1.12 | 0.50 | 0.37 | 0.38 | 1.27 | 2.66 | 4.86 |
| Debt / FCF | — | -1.51 | 0.78 | 1.82 | 1.25 | 0.53 | 0.44 | 0.38 | 1.43 | 3.71 | 9.85 |
| Interest Coverage | 20.57 | 20.57 | 2.68 | 11.13 | 19.17 | 24.35 | 20.32 | 13.20 | 9.78 | 4.21 | 2.08 |
Net cash position: cash ($551M) exceeds total debt ($269M)
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 | 14.64 | 14.64 | 2.35 | 9.03 | 3.29 | 54.02 | 55.98 | 80.29 | 34.92 | 5.75 | 9.88 |
| Quick Ratio | 13.85 | 13.85 | 2.21 | 7.96 | 2.87 | 54.02 | 55.98 | 80.29 | 34.92 | 5.77 | 9.88 |
| Cash Ratio | 11.09 | 11.09 | 1.75 | 5.07 | 2.16 | 34.70 | 40.34 | 65.32 | 20.16 | 3.72 | 7.50 |
| Asset Turnover | — | 0.26 | 0.28 | 0.25 | 0.27 | 0.42 | 0.34 | 0.36 | 0.48 | 0.59 | 0.35 |
| Inventory Turnover | 3.00 | 3.00 | 1.09 | 1.05 | 0.25 | — | — | — | — | — | — |
| Days Sales Outstanding | — | 30.02 | 87.88 | 98.84 | 70.58 | 103.12 | 101.80 | 111.07 | 116.47 | 118.53 | 128.02 |
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 | — | — | — | — | — | — | — | 0.0% | 0.0% | 0.0% | 0.1% |
| Payout Ratio | — | — | — | — | — | — | — | 0.0% | 0.0% | 0.2% | 1.6% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 14.1% | 16.5% | 2.1% | 13.7% | 17.9% | 16.6% | 16.3% | 10.1% | 20.2% | 8.2% | 5.0% |
| FCF Yield | 12.9% | 11.0% | 14.6% | 10.1% | 16.0% | 22.3% | 22.3% | 16.0% | 11.3% | 8.3% | 4.6% |
| Buyback Yield | 0.3% | 0.3% | 1.2% | 5.4% | 0.7% | 24.2% | 0.0% | 0.0% | 0.2% | 5.9% | 6.0% |
| Total Shareholder Yield | 0.3% | 0.3% | 1.2% | 5.4% | 0.7% | 24.2% | 0.0% | 0.0% | 0.2% | 5.9% | 6.1% |
| Shares Outstanding | — | $85M | $74M | $87M | $95M | $94M | $114M | $113M | $113M | $120M | $123M |
Includes 30+ ratios · 24 years · Updated daily
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Quick answers to the most common questions about buying INVA stock.
Innoviva, Inc.'s current P/E ratio is 7.1x. The historical average is 12.6x. This places it at the 50th percentile of its historical range.
Innoviva, Inc.'s current EV/EBITDA is 5.4x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 11.1x.
Innoviva, Inc.'s return on equity (ROE) is 29.1%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is -36.2%.
Based on historical data, Innoviva, Inc. is trading at a P/E of 7.1x. This is at the 50th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Innoviva, Inc. has 72.3% gross margin and 38.5% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Innoviva, Inc.'s Debt/EBITDA ratio is 1.3x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.
Key Metrics
Top Statement Risk
Earnings volatility and royalty overhang
Metrics are mathematically derived from official filings.
Low Multiples Reflect Earnings Skepticism
Based on Innoviva's reported figures, INVA trades at a 5.79 trailing P/E and 3.44 forward EV/EBITDA, multiples well below typical biotech and royalty peers, signaling skepticism about earnings durability rather than cheapness alone.
The gap between trailing P/E of 5.79 and forward P/E of 7.89 implies the market expects earnings to decline, consistent with the recent consecutive EPS misses. A PEG of 0.56 looks attractive only if the growth embedded in forward estimates is credible, which volatile quarterly net income does not yet confirm. The P/FCF of 7.56 is arguably the more reliable anchor, since operating cash flow has stayed positive even as reported earnings swung negative, though investors should monitor whether the discount reflects a conglomerate penalty for the mixed royalty and product business.
Margin Compression Obscures Earning Power
As reported in financial statements, INVA's gross margin fell from roughly 92% in 2024Q4 to 79.5% in 2026Q3 while net margin swung from 190.4% to -69.6%, making headline profitability a poor guide to recurring earning power.
The gross margin decline appears driven by the rising share of lower-margin product sales from the acquired antibiotic and critical care franchises, a mix shift rather than pricing erosion in the royalty stream. Operating margin of 39.7% in 2026Q3 is a more stable reference point than net margin, which is distorted by non-operating and non-cash items. Investors should treat the 2026Q1 net margin as an outlier rather than a run-rate.
Low Leverage Offset by Coverage Volatility
According to recent SEC filings, INVA's debt-to-equity ratio declined from 0.63 in 2025Q2 to 0.24 in 2026Q3, yet interest coverage has swung between negative and above 59x, limiting confidence in the coverage trend.
Debt has been reduced to roughly $270M against about $1.1B of equity, leaving leverage modest by any measure. The erratic interest coverage series appears to reflect volatile operating income and small or inconsistent interest expense rather than a genuine debt-service strain. Based on reported figures, refinancing risk appears limited, though the debt-to-EBITDA of 5.15 warrants monitoring as EBITDA quality weakens.
Cash-Rich Position Overstates Free Liquidity
Based on reported figures, INVA's current ratio of 15.44 and quick ratio of 14.58 in 2026Q3 reflect a cash balance of roughly $581M, though the balance sheet does not separate restricted or committed funds from freely available cash.
Near-zero inventory dependence means the quick and current ratios converge, so liquidity is essentially a function of cash holdings. The headline position appears to comfortably cover the roughly $270M of debt, even under severe stress. However, if acquisition commitments or restricted balances absorb a material share of cash, the effective cushion would be smaller than the headline ratios suggest.
Working Capital Cycle Lengthening Over Time
As reported in financial statements, INVA's cash conversion cycle expanded from 251 days in 2024Q2 to 243 days in 2026Q3, with inventory days falling from 183 to 173 after peaking near 436 in 2024Q4, while receivable days rose from 75 to 92.
The long inventory-heavy cycle reflects the shift toward physical product sales, which carry working capital that royalty income never required. Receivable days of 92 in 2026Q3 versus 75 in 2024Q2 suggest slower collection as hospital procurement becomes a larger share of revenue. Investors should watch whether the long cycle is a transitional cost of commercial ramp or a persistent feature of hospital-channel economics.
Royalty Multiples Mislead on Product Economics
Based on reported figures, the trailing P/E of 5.79 is most commonly misapplied to INVA because net income is distorted by non-cash royalty accounting and non-operating swings, so the multiple may understate or overstate durable earnings.
Applying a royalty-style earnings multiple to a business now combining royalty income with hospital product sales obscures the different cost and working capital profiles of each segment. Enterprise value to operating cash flow or sum-of-the-parts analysis would better isolate the cash-generating royalty stream from the capital-intensive product business. Investors should monitor whether the cash generation benchmark holds as product sales scale.