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KNKnowles Corporation
$40.05$3.4B
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  4. Financial Ratios

Knowles Corporation (KN) Financial Ratios

Latest Ratios: P/E Ratio 80.1x · EV/EBITDA 30.9x · ROE 5.8%. (2012–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

KN 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$3.4B$1.9B$1.8B$1.6B$1.5B$2.2B$1.7B$2.0B$1.2B$1.3B$1.5B
Enterprise Value$3.5B$2.0B$1.9B$1.8B$1.5B$2.2B$1.8B$2.1B$1.3B$1.4B$1.7B
P/E Ratio →80.1042.86—22.67—14.69590.7139.9117.9919.55—
P/S Ratio5.773.153.243.593.142.552.242.311.471.781.97
P/B Ratio4.512.412.381.591.521.521.311.531.001.171.48
P/FCF41.8222.8415.4115.5527.7816.5617.7923.9065.9732.1221.66
P/OCF30.0516.4113.8013.3717.4512.1413.3615.9512.3214.2813.86

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

KN 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—3.323.394.033.182.592.312.451.591.912.30
EV / EBITDA30.8917.2519.9224.3410.5212.4216.2814.739.9111.3613.93
EV / EBIT45.3226.8334.2841.1616.6218.8662.1925.7116.8735.7436.28
EV / FCF—24.0216.1317.4428.0816.8118.3625.3771.2434.4425.26

KN 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 Margin41.2%41.2%40.0%43.8%47.4%39.3%33.9%37.9%38.3%38.2%37.0%
Operating Margin13.1%13.1%10.2%10.8%19.0%13.6%6.3%10.3%9.7%9.6%7.4%
Net Profit Margin7.5%7.5%-43.3%15.8%-89.8%17.3%0.9%5.7%8.0%0.8%-2.2%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE5.8%5.8%-26.8%7.1%-35.1%10.9%0.5%3.9%5.6%0.6%-1.7%
ROA4.1%4.1%-18.6%5.5%-29.5%8.9%0.4%3.1%4.3%0.4%-1.0%
ROIC6.8%6.8%4.1%3.3%5.4%6.2%2.6%4.9%4.7%4.3%3.2%
ROCE8.3%8.3%5.1%4.1%6.9%8.1%3.3%6.1%5.7%5.2%3.9%

KN Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity0.190.190.280.280.060.070.160.160.140.180.31
Debt / EBITDA1.321.322.263.790.450.571.861.411.291.662.51
Net Debt / Equity—0.120.110.190.020.020.040.090.080.080.25
Net Debt / EBITDA0.840.840.882.640.110.190.500.860.730.761.98
Debt / FCF—1.170.711.890.300.250.561.485.282.323.60
Interest Coverage7.887.882.736.0421.308.261.665.334.681.952.42

KN Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio2.752.751.832.613.662.291.412.562.572.602.22
Quick Ratio1.581.581.231.831.951.370.971.631.591.781.49
Cash Ratio0.510.510.660.530.490.410.500.520.520.740.44
Asset Turnover—0.560.490.310.400.500.460.520.530.480.50
Inventory Turnover2.802.802.822.021.493.443.883.753.643.664.40
Days Sales Outstanding—63.2569.2472.47102.6861.6462.7568.1561.9367.5470.08

KN 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 Yield0.2%0.3%—————————
Payout Ratio———————————

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield1.2%2.3%—4.4%—6.8%0.2%2.5%5.6%5.1%—
FCF Yield2.4%4.4%6.5%6.4%3.6%6.0%5.6%4.2%1.5%3.1%4.6%
Buyback Yield1.9%3.5%3.0%2.9%2.9%2.0%0.9%0.0%0.0%0.0%0.0%
Total Shareholder Yield2.1%3.8%3.0%2.9%2.9%2.0%0.9%0.0%0.0%0.0%0.0%
Shares Outstanding—$87M$90M$92M$92M$95M$93M$93M$91M$90M$89M

Key Metrics

Growth RegimeMixed
ProfitabilityModerate
Balance SheetHealthy
Cash FlowMixed
Top Statement Risk

Consumer electronics demand volatility

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q1)

Premium Valuation Reflects Strategic Pivot

According to current market data, Knowles trades at a forward P/E of 30.99, which appears to price in a significant earnings recovery and successful integration of recent acquisitions, despite the historical volatility in its core audio segment that has historically depressed valuation multiples relative to broader industrial peers.

The elevated P/E ratio suggests that investors are looking past the cyclicality of the audio business, betting instead on the higher-margin potential of the Precision Devices segment. However, this valuation implies a high growth expectation that may be difficult to sustain if the consumer electronics market remains sluggish.

Capital Efficiency Remains Under Pressure

Based on reported financial figures, Knowles has struggled to generate consistent returns, with ROIC hovering at a modest 1.0% to 2.3% range over recent quarters, indicating that the company is currently failing to exceed its cost of capital while undergoing its structural business transformation.

The low ROIC suggests that the company's heavy investment in specialized manufacturing and recent inorganic growth efforts have yet to yield meaningful returns on invested capital. Investors should monitor whether the shift toward the Precision Devices segment can eventually drive a sustainable expansion in these return metrics.

Working Capital Cycles Indicate Inefficiency

As reported in recent quarterly filings, Knowles' cash conversion cycle has remained elevated, peaking at 243 days in 2024Q2, which highlights significant challenges in managing inventory levels and receivables compared to more efficient industrial component manufacturers operating in similar high-tech niches.

The extended DIO and DSO figures suggest that the company may be carrying excess inventory or facing pressure from customers to extend payment terms. This inefficiency ties up capital that could otherwise be deployed for R&D or debt reduction, further complicating the company's cash flow profile.

Conservative Leverage Provides Strategic Buffer

According to recent balance sheet disclosures, Knowles maintains a disciplined debt-to-equity ratio of 0.19, which provides a robust financial cushion that allows the firm to navigate cyclical downturns in the smartphone market without the immediate threat of liquidity constraints or excessive interest expense burdens.

This low leverage profile is a key defensive feature, particularly given the volatility in operating income. It grants management the flexibility to pursue further strategic acquisitions or share buybacks, provided they can improve the underlying profitability of the acquired assets.

Misapplication of Standard P/E Multiples

Investors frequently misapply standard P/E multiples to Knowles, failing to account for the significant non-recurring charges and accounting distortions that frequently obscure the company's true underlying earning power, thereby leading to an inaccurate assessment of its valuation relative to more stable industrial peers.

Because Knowles is in the midst of a multi-year pivot, trailing earnings are often heavily impacted by restructuring costs and acquisition-related expenses. Analysts should instead focus on normalized EBITDA or cash flow metrics to better gauge the company's operational health and true valuation.

Download Financial Ratios Data

Includes 30+ ratios · 14 years · Updated daily

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KN — Frequently Asked Questions

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

What is Knowles Corporation's P/E ratio?

Knowles Corporation's current P/E ratio is 80.1x. The historical average is 26.3x. This places it at the 100th percentile of its historical range.

What is Knowles Corporation's EV/EBITDA?

Knowles Corporation's current EV/EBITDA is 30.9x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 15.1x.

What is Knowles Corporation's ROE?

Knowles Corporation's return on equity (ROE) is 5.8%. The historical average is -3.0%.

Is KN stock overvalued?

Based on historical data, Knowles Corporation is trading at a P/E of 80.1x. This is at the 100th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What is Knowles Corporation's dividend yield?

Knowles Corporation's current dividend yield is 0.18%.

What are Knowles Corporation's profit margins?

Knowles Corporation has 41.2% gross margin and 13.1% operating margin. Operating margin between 10-20% is typical for established companies.

How much debt does Knowles Corporation have?

Knowles Corporation's Debt/EBITDA ratio is 1.3x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.