Latest Ratios: P/E Ratio 62.8x · EV/EBITDA 8.4x · ROE 3.1%. (1996–2025 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 | $4.5B | $2.9B | $3.4B | $3.2B | $2.7B | $3.0B | $3.5B | $3.0B | $3.9B | $5.3B | $3.9B |
| Enterprise Value | $7.6B | $6.0B | $5.7B | $5.8B | $4.9B | $5.0B | $5.8B | $5.0B | $5.1B | $6.4B | $5.3B |
| P/E Ratio → | 62.83 | 42.71 | 20.90 | 18.43 | 7.79 | 6.45 | — | 37.50 | 6.85 | 16.63 | — |
| P/S Ratio | 1.26 | 0.80 | 0.91 | 0.86 | 0.63 | 0.68 | 1.32 | 0.90 | 0.87 | 1.72 | 1.97 |
| P/B Ratio | 1.56 | 1.06 | 1.42 | 1.48 | 1.12 | 1.54 | 2.44 | 1.82 | 2.16 | 3.01 | 2.18 |
| P/FCF | 6.18 | 3.94 | 5.99 | 15.16 | 6.62 | 4.03 | 29.44 | 37.95 | 5.30 | 7.68 | 26.22 |
| P/OCF | 5.43 | 3.47 | 4.58 | 4.86 | 2.75 | 3.03 | 7.61 | 7.24 | 3.98 | 6.67 | 15.73 |
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 | — | 1.66 | 1.54 | 1.55 | 1.13 | 1.12 | 2.17 | 1.53 | 1.14 | 2.09 | 2.63 |
| EV / EBITDA | 8.35 | 6.55 | 8.04 | 8.80 | 5.64 | 4.61 | 18.91 | 9.43 | 4.74 | 9.01 | 20.53 |
| EV / EBIT | 16.40 | 14.09 | 13.85 | 14.31 | 6.84 | 6.12 | — | 20.52 | 5.63 | 11.28 | 100.18 |
| EV / FCF | — | 8.14 | 10.15 | 27.23 | 11.90 | 6.62 | 48.32 | 64.48 | 6.93 | 9.33 | 35.10 |
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 | 25.3% | 25.3% | 19.1% | 17.6% | 20.1% | 24.4% | 23.2% | 23.8% | 29.9% | 34.3% | 25.3% |
| Operating Margin | 12.9% | 12.9% | 8.7% | 7.1% | 11.4% | 16.1% | -2.0% | 5.8% | 18.5% | 15.6% | 1.4% |
| Net Profit Margin | 2.2% | 2.2% | 4.4% | 4.7% | 8.2% | 10.9% | -5.9% | 2.7% | 12.7% | 10.3% | -0.6% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 3.1% | 3.1% | 7.2% | 7.6% | 16.1% | 28.4% | -10.2% | 5.1% | 32.0% | 17.8% | -0.7% |
| ROA | 1.2% | 1.2% | 2.5% | 2.7% | 5.6% | 8.2% | -2.9% | 1.8% | 12.3% | 6.9% | -0.3% |
| ROIC | 6.6% | 6.6% | 5.2% | 4.2% | 8.7% | 14.1% | -1.1% | 4.2% | 21.2% | 11.9% | 0.7% |
| ROCE | 7.5% | 7.5% | 5.9% | 4.9% | 9.1% | 14.2% | -1.1% | 4.7% | 22.3% | 12.2% | 0.7% |
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 | 1.29 | 1.29 | 1.36 | 1.39 | 1.24 | 1.47 | 2.14 | 1.53 | 0.81 | 0.86 | 0.86 |
| Debt / EBITDA | 3.85 | 3.85 | 4.55 | 4.60 | 3.49 | 2.67 | 10.13 | 4.66 | 1.36 | 2.12 | 6.07 |
| Net Debt / Equity | — | 1.13 | 0.98 | 1.18 | 0.89 | 0.99 | 1.56 | 1.27 | 0.66 | 0.65 | 0.74 |
| Net Debt / EBITDA | 3.38 | 3.38 | 3.30 | 3.90 | 2.50 | 1.81 | 7.39 | 3.88 | 1.12 | 1.59 | 5.19 |
| Debt / FCF | — | 4.20 | 4.16 | 12.07 | 5.28 | 2.59 | 18.88 | 26.53 | 1.63 | 1.65 | 8.88 |
| Interest Coverage | 1.93 | 1.93 | 3.11 | 3.43 | 5.44 | 5.61 | -0.14 | 1.97 | 9.59 | 5.96 | 0.58 |
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 | 2.06 | 2.06 | 2.62 | 1.14 | 1.99 | 2.06 | 2.08 | 1.90 | 1.20 | 1.66 | 1.69 |
| Quick Ratio | 1.37 | 1.37 | 2.00 | 0.81 | 1.52 | 1.59 | 1.68 | 1.47 | 0.83 | 1.25 | 1.23 |
| Cash Ratio | 0.59 | 0.59 | 1.22 | 0.35 | 0.91 | 0.97 | 1.09 | 0.64 | 0.24 | 0.50 | 0.37 |
| Asset Turnover | — | 0.49 | 0.56 | 0.58 | 0.65 | 0.72 | 0.47 | 0.63 | 0.97 | 0.66 | 0.44 |
| Inventory Turnover | 5.43 | 5.43 | 6.64 | 7.19 | 7.84 | 7.27 | 6.59 | 8.91 | 8.10 | 6.61 | 5.30 |
| Days Sales Outstanding | — | 47.00 | 46.45 | 52.04 | 42.39 | 45.53 | 56.75 | 54.33 | 41.90 | 64.00 | 91.25 |
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 | 1.3% | 1.9% | 1.5% | 1.5% | 1.6% | 0.8% | 1.1% | 3.7% | 2.7% | 1.9% | 2.5% |
| Payout Ratio | 68.2% | 68.2% | 30.4% | 28.4% | 11.9% | 5.1% | — | 125.8% | 18.6% | 32.1% | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 1.6% | 2.3% | 4.8% | 5.4% | 12.8% | 15.5% | — | 2.7% | 14.6% | 6.0% | — |
| FCF Yield | 16.2% | 25.4% | 16.7% | 6.6% | 15.1% | 24.8% | 3.4% | 2.6% | 18.9% | 13.0% | 3.8% |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 2.7% | 9.3% | 2.1% | 0.0% | 1.8% | 11.4% | 5.4% | 0.0% |
| Total Shareholder Yield | 1.3% | 1.9% | 1.5% | 4.2% | 10.9% | 2.9% | 1.1% | 5.5% | 14.1% | 7.4% | 2.5% |
| Shares Outstanding | — | $73M | $68M | $68M | $72M | $76M | $76M | $77M | $81M | $87M | $90M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying MEOH stock.
Methanex Corporation's current P/E ratio is 62.8x. The historical average is 23.4x. This places it at the 96th percentile of its historical range.
Methanex Corporation's current EV/EBITDA is 8.4x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 10.8x.
Methanex Corporation's return on equity (ROE) is 3.1%. The historical average is 10.9%.
Based on historical data, Methanex Corporation is trading at a P/E of 62.8x. This is at the 96th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Methanex Corporation's current dividend yield is 1.28% with a payout ratio of 68.2%.
Methanex Corporation has 25.3% gross margin and 12.9% operating margin. Operating margin between 10-20% is typical for established companies.
Methanex Corporation's Debt/EBITDA ratio is 3.9x, indicating high leverage. A ratio between 2-4x is manageable but warrants monitoring.
Key Metrics
Top Statement Risk
Methanol price cyclicality
Margin Spike Masks Cyclicality
Gross margin surged to 45.7% in Q2 2026 from a 10-quarter average of 24.5%, but net margin remains thin at 2.2% TTM, according to reported financials, indicating the spike may be unsustainable.
The Q2 2026 gross margin of 45.7% is nearly double the 10-quarter average of 24.5%, suggesting a favorable methanol-to-gas spread and the Geismar 3 ramp-up. However, the TTM net margin of 2.2% and the prior quarters of negative net margins highlight extreme earnings volatility. Investors should monitor whether the margin expansion persists or reverts to the mean as methanol prices fluctuate.
Returns Rebound from Cyclical Lows
ROIC jumped to 6.8% in Q2 2026 from 0.8% in Q3 2025, but the 10-quarter average is only 2.0%, as per financial statements, indicating returns remain below the cost of capital.
The sharp recovery in ROIC to 6.8% in Q2 2026 from near-zero levels in prior quarters reflects the operating leverage inherent in the business. However, the 10-quarter average ROIC of 2.0% suggests that capital employed is not consistently generating returns above the cost of capital. This implies that the company's competitive advantages, while real, are not sufficient to overcome the cyclicality of methanol prices.
Working Capital Efficiency Improves
Cash conversion cycle shortened to 34 days in Q2 2026 from 44 days a year earlier, driven by faster receivables collection, as reported in quarterly data, indicating improved working capital management.
The reduction in DSO from 50 days in Q2 2025 to 37 days in Q2 2026, combined with a stable DPO around 70 days, has compressed the cash conversion cycle. This suggests that Methanex is managing its receivables more tightly, possibly due to stronger customer demand or better credit terms. However, the cycle remains longer than the 16-day low in Q1 2024, indicating that working capital efficiency is still subject to commodity cycle swings.
Leverage Eases but Remains Elevated
Debt-to-equity improved to 1.09 in Q2 2026 from 1.36 in Q1 2024, but interest coverage of 7.48x is volatile, as per financial statements, indicating reduced but still significant balance sheet risk.
The deleveraging trend is positive, with D/E falling from 1.36 to 1.09 over two years, and D/EBITDA dropping to 4.90x in Q2 2026 from over 20x in Q3 2025. However, the absolute leverage remains high for a commodity chemical producer, and interest coverage has swung from -0.02x in Q4 2025 to 7.48x in Q2 2026, reflecting the cyclicality of earnings. This suggests that while the balance sheet is improving, it remains vulnerable to a downturn in methanol prices.
Liquidity Buffer Strengthens
Current ratio improved to 2.07 in Q2 2026 from 1.17 in Q1 2024, with quick ratio at 1.35, as reported in financial statements, indicating a stronger short-term liquidity position.
The current ratio has consistently improved over the past two years, reaching 2.07 in Q2 2026, and the quick ratio of 1.35 suggests that even without inventory, the company can cover its short-term obligations. This improvement is partly due to debt reduction and a shift in working capital. However, the cash balance has declined from $1.1B in Q1 2025 to $382M in Q2 2026, so the liquidity buffer is thinner than it appears, warranting monitoring if methanol prices weaken.
Misapplied Metric: P/E Ratio
The trailing P/E of 59.73 is misleading given the cyclicality of methanol; forward P/E of 6.05 better reflects normalized earnings, as per valuation data, but even that may overstate sustainability.
The trailing P/E is distorted by the trough earnings of the past year, while the forward P/E of 6.05 assumes a sharp earnings recovery that may not materialize if methanol prices retreat. For a commodity producer with volatile earnings, EV/EBITDA is a more reliable metric, and at 8.11x it is in line with peers like Olin (8.01x) and Eastman (8.66x). Investors should focus on mid-cycle earnings power rather than a single year's P/E, as the company's earnings are highly sensitive to the methanol-to-gas spread.