Latest Ratios: P/E Ratio 22.6x · EV/EBITDA 11.6x · ROE 8.3%. (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 | $21.2B | $19.8B | $16.8B | $11.9B | $12.1B | $11.5B | $8.8B | $10.5B | $9.0B | $8.5B | $7.2B |
| Enterprise Value | $37.3B | $35.9B | $30.6B | $23.8B | $23.6B | $21.4B | $18.6B | $20.0B | $18.1B | $17.5B | $15.0B |
| P/E Ratio → | 22.60 | 21.42 | 22.69 | 17.94 | 16.13 | 21.74 | — | 32.00 | — | 65.82 | 21.71 |
| P/S Ratio | 3.04 | 2.98 | 3.07 | 2.16 | 2.07 | 2.35 | 1.88 | 2.01 | 1.77 | 1.74 | 1.59 |
| P/B Ratio | 1.80 | 1.70 | 1.57 | 1.17 | 1.54 | 1.58 | 1.51 | 1.75 | 1.57 | 1.97 | 1.76 |
| P/FCF | — | — | — | — | — | — | — | — | — | — | — |
| P/OCF | 8.96 | 8.39 | 9.41 | 6.15 | 8.61 | 9.46 | 7.99 | 6.61 | 16.73 | 11.44 | 8.92 |
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 | — | 5.41 | 5.60 | 4.32 | 4.04 | 4.37 | 3.98 | 3.84 | 3.53 | 3.58 | 3.35 |
| EV / EBITDA | 11.62 | 11.98 | 12.23 | 10.79 | 11.32 | 12.21 | 14.61 | 12.45 | 24.93 | 11.71 | 10.65 |
| EV / EBIT | 20.35 | 19.12 | 20.03 | 18.08 | 17.78 | 20.41 | 54.90 | 22.60 | 127.16 | 21.46 | 17.15 |
| EV / FCF | — | — | — | — | — | — | — | — | — | — | — |
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 | 50.4% | 50.4% | 51.5% | 45.0% | 38.5% | 41.9% | 42.4% | 44.5% | 19.6% | 36.0% | 36.9% |
| Operating Margin | 27.6% | 27.6% | 26.7% | 23.5% | 21.6% | 20.6% | 11.8% | 17.1% | 2.4% | 18.9% | 19.3% |
| Net Profit Margin | 14.0% | 14.0% | 13.9% | 13.0% | 13.7% | 11.9% | -0.4% | 7.4% | -1.0% | 2.6% | 7.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 8.3% | 8.3% | 7.3% | 7.9% | 10.6% | 8.9% | -0.3% | 6.5% | -1.0% | 3.1% | 8.4% |
| ROA | 2.7% | 2.7% | 2.4% | 2.5% | 3.2% | 2.5% | -0.1% | 1.7% | -0.2% | 0.7% | 1.8% |
| ROIC | 5.3% | 5.3% | 4.7% | 4.7% | 5.2% | 4.6% | 2.6% | 4.4% | 0.7% | 5.5% | 5.7% |
| ROCE | 6.0% | 6.0% | 5.4% | 5.4% | 5.8% | 4.9% | 2.8% | 4.9% | 0.7% | 5.8% | 5.8% |
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 | 1.39 | 1.39 | 1.31 | 1.39 | 1.46 | 1.37 | 1.70 | 1.62 | 1.59 | 2.08 | 1.94 |
| Debt / EBITDA | 5.41 | 5.41 | 5.59 | 6.41 | 5.52 | 5.69 | 7.79 | 6.03 | 12.61 | 6.04 | 5.60 |
| Net Debt / Equity | — | 1.38 | 1.29 | 1.17 | 1.45 | 1.36 | 1.68 | 1.60 | 1.57 | 2.08 | 1.94 |
| Net Debt / EBITDA | 5.37 | 5.37 | 5.52 | 5.39 | 5.50 | 5.65 | 7.70 | 5.94 | 12.45 | 6.02 | 5.58 |
| Debt / FCF | — | — | — | — | — | — | — | — | — | — | — |
| Interest Coverage | 2.84 | 2.84 | 2.95 | 2.69 | 3.69 | 3.08 | 0.92 | 2.34 | 0.40 | 2.30 | 2.51 |
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 | 0.69 | 0.69 | 0.51 | 0.85 | 0.55 | 0.70 | 0.73 | 0.49 | 0.51 | 0.55 | 0.51 |
| Quick Ratio | 0.56 | 0.56 | 0.41 | 0.76 | 0.39 | 0.52 | 0.55 | 0.38 | 0.40 | 0.41 | 0.37 |
| Cash Ratio | 0.04 | 0.04 | 0.04 | 0.43 | 0.01 | 0.03 | 0.05 | 0.04 | 0.03 | 0.01 | 0.01 |
| Asset Turnover | — | 0.18 | 0.17 | 0.18 | 0.22 | 0.20 | 0.21 | 0.23 | 0.23 | 0.24 | 0.24 |
| Inventory Turnover | 7.33 | 7.33 | 6.80 | 6.02 | 4.79 | 5.71 | 6.72 | 6.80 | 9.74 | 6.62 | 5.74 |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
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 | 2.5% | 2.7% | 2.9% | 3.5% | 3.1% | 3.0% | 3.6% | 2.9% | 3.0% | 2.7% | 2.9% |
| Payout Ratio | 57.1% | 57.1% | 63.3% | 57.9% | 47.4% | 59.0% | — | 77.9% | — | 178.3% | 62.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.4% | 4.7% | 4.4% | 5.6% | 6.2% | 4.6% | — | 3.1% | — | 1.5% | 4.6% |
| FCF Yield | — | — | — | — | — | — | — | — | — | — | — |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.1% | 0.1% |
| Total Shareholder Yield | 2.5% | 2.7% | 2.9% | 3.5% | 3.1% | 3.0% | 3.6% | 2.9% | 3.1% | 2.8% | 3.0% |
| Shares Outstanding | — | $475M | $456M | $448M | $443M | $417M | $384M | $376M | $357M | $331M | $324M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying NI stock.
NiSource Inc's current P/E ratio is 22.6x. The historical average is 14.6x. This places it at the 86th percentile of its historical range.
NiSource Inc's current EV/EBITDA is 11.6x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 8.9x.
NiSource Inc's return on equity (ROE) is 8.3%. The historical average is 7.2%.
Based on historical data, NiSource Inc is trading at a P/E of 22.6x. This is at the 86th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
NiSource Inc's current dividend yield is 2.53% with a payout ratio of 57.1%.
NiSource Inc has 50.4% gross margin and 27.6% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
NiSource Inc's Debt/EBITDA ratio is 5.4x, indicating high leverage. A ratio above 4x may signal elevated financial risk.
Key Metrics
Top Statement Risk
Debt-funded capital expansion pressure
Metrics are mathematically derived from official filings.
Premium Multiple Versus Regulated Peers
Based on NiSource's reported figures, the stock trades at 22.79x trailing earnings and 1.81x book, a premium to several gas peers that suggests investors are pricing in durable rate base growth despite a 2.5% dividend yield.
A trailing P/E of 22.79 with a forward P/E of 21.61 implies consensus expects modest earnings expansion, which is consistent with a regulated rate base growing through capital investment. The 2.5% yield sits below Spire's 3.5% and Northwest Natural's 3.6%, indicating that part of the valuation rests on growth expectations rather than current income. Investors should monitor whether authorized returns keep pace with the premium, since a compression in allowed ROE would leave the multiple harder to justify.
Earned Returns Lag Regulatory Ambitions
As reported in NiSource's quarterly ratios, earned ROE ran between 0.4% and 4.4% across the ten periods, a figure that appears low relative to typical authorized utility returns and warrants comparison against allowed ROE in its rate cases.
Quarterly ROE is seasonal and cannot be annualized cleanly, but the cumulative pattern of low single-digit readings suggests earnings conversion from the regulated asset base is weaker than authorized levels would imply. Lag between capital spending and rate recovery, combined with interest costs, may be absorbing a meaningful portion of equity returns. This gap warrants further investigation through the company's rate case filings before drawing firm conclusions about regulatory outcomes.
Margin Swings Track Seasonal Recovery
Based on NiSource's reported figures, operating margin ranged from 17.0% to 34.8% across quarters, with net margin volatility from 3.4% to 21.7% suggesting earnings are heavily weighted toward heating-season recovery periods.
The wide spread between weak and strong quarters is characteristic of a gas-heavy distribution footprint rather than evidence of deteriorating cost control on its own. Gross margin in the 58.6% range reflects pass-through commodity costs that dilute the ratio without affecting earnings power directly. Operating margin trends are more informative, and the recent compression in net margin implies higher financing costs are absorbing operating gains.
Interest Coverage Thins as Debt Rises
According to reported quarterly ratios, interest coverage fell to 1.24x in 2026Q2 after reaching 5.76x in 2025Q1, while debt-to-capitalization held near 0.58 to 0.60, signaling that rising debt costs are compressing the cushion beneath interest obligations.
Coverage swinging between roughly 1.2x and 5.8x reflects both seasonal earnings and a rising interest burden tied to debt growth from $13.5B to $18.3B. FFO-to-debt readings of 2.96 to 7.67 remain above levels typically associated with stress for regulated utilities, yet the downward drift in recent quarters suggests less headroom. Investors should monitor whether leverage limits set by state commissions constrain further debt-funded capital spending.
Dividend Covered by Operations, Not Earnings
Based on NiSource's reported figures, the dividend payout ratio exceeded 100% in the latest quarter at 111.4%, while operating cash flow covered quarterly dividends roughly 2.9x to 5.3x, indicating the payout is supported by cash generation rather than reported earnings.
Payout ratios of 111% and 139% in several quarters look alarming on an earnings basis, but such readings are typical of seasonal earnings troughs in gas utilities and do not reflect the cash position. Operating cash flow of $340M to $712M per quarter against roughly $130M in dividends provides real coverage. However, with free cash flow negative in most quarters, the dividend is effectively funded alongside debt issuance, limiting internal funding for the capital program.
Lagging Returns Justify Peer Discount
As reported in peer comparisons, NiSource's ROE of roughly 1% to 4% quarterly and debt-to-equity near 1.4 to 1.5 sit below the 21.4% ROE at Spire and the 12.9% at Southwest Gas, suggesting the company trades on its asset base and growth narrative rather than current returns.
Relative to peers, NiSource's earned returns appear weaker while its leverage is comparable to Atmos and CenterPoint, which limits its ability to command a clear premium on profitability alone. The dividend yield of 2.5% trails Spire, Northwest Natural, and ONE Gas, implying less current income appeal. Valuation support therefore depends on whether the rate base expansion translates into earnings growth that closes the return gap over time.
Debt-to-Equity Figure Warrants Verification
Based on the provided data, the reported debt-to-equity figure of 1.39% is far below the 1.4 to 1.5 range implied by balance sheet debt and equity, and standard D/E ratios for utilities that ignore regulatory assets and PPAs may misstate true leverage.
Using a simple debt-to-equity ratio would obscure the regulatory asset and liability balances and any off-balance-sheet commitments that affect how regulators view capital structure. The anomalous 1.39% figure should not be used for valuation without verification, as it conflicts with reported debt of $18.3B against equity. A more reliable approach is debt-to-capitalization adjusted for regulatory equity ratios, alongside FFO-to-debt, which better captures the cash-based constraint on this utility.