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NXPINXP Semiconductors N.V.
$237.57$59.9B
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NXP Semiconductors N.V. (NXPI) Financial Ratios

Latest Ratios: P/E Ratio 29.9x · EV/EBITDA 16.6x · ROE 20.2%. (2008–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

NXPI 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$59.9B$55.2B$53.6B$60.0B$41.7B$62.8B$45.1B$36.4B$24.1B$40.5B$33.2B
Enterprise Value$68.9B$64.2B$61.4B$67.6B$49.3B$70.5B$50.5B$42.7B$28.6B$43.5B$40.5B
P/E Ratio →29.8827.3021.3621.4714.9833.55883.39149.7210.9018.27—
P/S Ratio4.884.504.254.523.165.685.244.102.564.373.49
P/B Ratio5.785.285.626.705.399.274.933.772.252.952.97
P/FCF26.2424.1826.0823.9515.6429.2723.0220.856.4922.1417.88
P/OCF21.2419.5819.2617.0910.7120.4118.1815.335.5116.5514.40

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

NXPI 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—5.234.875.093.736.385.864.813.054.704.26
EV / EBITDA16.6315.4914.1414.179.7618.3420.9715.896.1010.2320.58
EV / EBIT20.8021.5517.5617.8313.0027.67139.0264.6110.8221.26—
EV / FCF—28.1029.8926.9518.4732.8825.7524.477.7323.7921.82

NXPI 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 Margin54.4%54.4%56.4%56.9%56.9%54.8%49.2%52.0%51.6%49.9%42.8%
Operating Margin27.0%27.0%27.1%27.6%28.8%23.3%4.9%7.2%28.8%22.7%-1.6%
Net Profit Margin16.5%16.5%19.9%21.1%21.1%16.9%0.6%2.7%23.5%23.9%2.1%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE20.2%20.2%27.1%33.5%38.4%23.5%0.6%2.4%18.1%17.8%1.7%
ROA7.9%7.9%10.3%11.8%12.6%9.2%0.3%1.2%9.7%9.1%0.8%
ROIC13.5%13.5%15.1%17.3%19.1%13.4%2.1%3.1%12.7%9.0%-0.6%
ROCE15.1%15.1%16.5%18.2%19.8%14.3%2.3%3.5%13.7%9.6%-0.6%

NXPI Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity1.171.171.141.251.441.560.830.760.690.480.82
Debt / EBITDA2.952.952.502.342.212.753.162.741.571.544.67
Net Debt / Equity—0.860.820.840.981.140.580.650.430.220.65
Net Debt / EBITDA2.162.161.801.581.502.012.222.350.970.713.71
Debt / FCF—3.923.813.002.833.612.723.621.231.653.93
Interest Coverage6.396.398.798.658.886.911.001.799.706.60-0.48

NXPI Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio2.052.052.361.912.122.132.141.821.542.222.22
Quick Ratio1.381.381.601.391.581.651.631.161.171.771.76
Cash Ratio0.840.840.980.991.111.151.130.580.821.310.78
Asset Turnover—0.460.520.550.570.530.430.440.440.380.38
Inventory Turnover2.172.172.332.683.194.204.253.573.563.754.88
Days Sales Outstanding—31.3929.8624.5826.5430.4532.4227.4330.7334.6639.70

NXPI 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 Yield1.7%1.9%1.9%1.7%2.0%0.9%0.9%0.9%0.3%——
Payout Ratio50.7%50.7%41.4%36.0%29.2%30.0%807.7%131.3%3.4%——

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield3.3%3.7%4.7%4.7%6.7%3.0%0.1%0.7%9.2%5.5%—
FCF Yield3.8%4.1%3.8%4.2%6.4%3.4%4.3%4.8%15.4%4.5%5.6%
Buyback Yield1.5%1.6%2.6%1.8%3.4%6.4%1.4%4.0%20.8%0.7%3.9%
Total Shareholder Yield3.2%3.5%4.5%3.4%5.4%7.3%2.3%4.8%21.1%0.7%3.9%
Shares Outstanding—$254M$258M$261M$264M$276M$284M$286M$329M$346M$338M

Key Metrics

Growth RegimeAccelerating
ProfitabilityModerate
Balance SheetHealthy
Cash FlowRobust
Top Statement Risk

EPS miss vs revenue beat

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q2)

Deep Value Discount on Forward Earnings

NXPI trades at 15.2x forward earnings versus 28.8x trailing, implying the market expects substantial earnings growth; the 0.25 PEG suggests undervaluation relative to growth, per reported multiples.

The steep drop from trailing to forward P/E (28.8x to 15.2x) indicates the market is pricing in a significant earnings rebound, likely driven by the 19% revenue growth and margin expansion. However, the Q2 2026 EPS miss of $3.61 versus consensus $4.11 introduces uncertainty about the pace of that recovery. Compared to peers like TXN at 50.6x trailing P/E, NXPI's forward multiple appears attractive, but investors should monitor whether the earnings beat materializes as expected.

Margin Expansion Masks Earnings Volatility

Gross margin hit 57.3% in Q2 2026, up from 53.4% a year earlier, while operating margin expanded to 30.6%; however, net margin swung from 35.3% to 21.9% sequentially, per quarterly data.

The gross margin improvement reflects a favorable mix shift toward automotive and industrial chips, but the net margin volatility suggests non-operating items or tax effects are distorting bottom-line profitability. The Q2 2026 EPS miss despite strong revenue growth indicates that operating leverage is not fully translating to net income, possibly due to higher interest expense or one-time charges. Investors should focus on operating margin as the cleaner measure of earning power, given its consistent expansion from 23.5% to 30.6% over the past year.

ROIC Lags Peers Despite Margin Gains

ROIC improved to 4.1% in Q2 2026 from 2.9% a year earlier, but remains well below TXN's 15.8% and even ON's 6.1%, per reported quarterly figures.

The low ROIC relative to peers suggests that NXPI's capital base, inflated by $10.3B of goodwill from the Freescale merger, is not generating commensurate returns. While margins are expanding, the asset turnover of 0.13x is extremely low, indicating that the company requires a large asset base to generate sales. This may reflect the fab-lite model's heavy reliance on intangible assets and goodwill, which do not contribute to operational efficiency. ROIC is likely to remain subdued until the company can grow revenue without proportional increases in capital employed.

Working Capital Drags Cash Conversion

Cash conversion cycle lengthened to 129 days in Q2 2026 from 98 days in Q4 2024, driven by DIO rising to 155 days and DPO falling to 57 days, per quarterly data.

The 31-day increase in CCC indicates that NXPI is holding inventory longer and paying suppliers faster, which ties up cash and reduces operational efficiency. DIO of 155 days is notably high, suggesting either deliberate stockpiling for anticipated demand or slower inventory turnover in the automotive segment. The decline in DPO from 72 to 57 days over the same period reduces the company's ability to finance operations with supplier credit. This trend, if sustained, could pressure free cash flow despite the robust FCF margin of 26.9%.

Deleveraging Improves Debt Serviceability

Debt-to-equity fell to 0.93 in Q2 2026 from 1.17 a year earlier, while interest coverage rose to 8.7x from 6.2x, indicating a more comfortable debt position, per balance sheet data.

The reduction in leverage, with total debt down to $11.0B from $12.2B, suggests a deliberate deleveraging strategy that strengthens the balance sheet. Interest coverage of 8.7x is adequate, but it remains below the 11.85x seen in Q1 2026, reflecting the sequential drop in operating income. The D/EBITDA ratio of 8.75x is elevated, indicating that debt is high relative to cash earnings, though the improving trend is positive. Investors should monitor whether the company continues to reduce debt or shifts toward more aggressive capital returns.

Liquidity Buffer Solid but Inventory Heavy

Current ratio improved to 2.04 in Q2 2026 from 1.74 a year earlier, but quick ratio of 1.36 suggests inventory constitutes a significant portion of current assets, per reported figures.

The current ratio of 2.04 indicates that NXPI has ample short-term assets to cover liabilities, but the quick ratio of 1.36 reveals that inventory accounts for a substantial part of that buffer. In a downturn, inventory may be difficult to liquidate without discounts, potentially straining liquidity. Cash of $3.2B provides a solid cushion, but the company's reliance on inventory and receivables means that a sharp demand drop could quickly erode the liquidity position. The improving current ratio is a positive sign, but the inventory-heavy asset mix warrants caution.

P/E Misleads on Cyclical Earnings

The trailing P/E of 28.8x is distorted by cyclical trough earnings, while the forward P/E of 15.2x assumes a sharp recovery; a normalized earnings approach is more appropriate, per valuation data.

For a semiconductor company with cyclical demand, using a single P/E can be misleading because earnings are volatile. NXPI's trailing P/E is elevated due to depressed earnings in the past year, while the forward P/E may be too optimistic given the recent EPS miss. Investors should instead use a mid-cycle earnings estimate or EV/EBITDA, which is less affected by depreciation and amortization from the Freescale merger. The EV/EBITDA of 16.1x is more comparable to peers and provides a clearer picture of valuation relative to cash-generating ability.

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NXPI — Frequently Asked Questions

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

What is NXP Semiconductors N.V.'s P/E ratio?

NXP Semiconductors N.V.'s current P/E ratio is 29.9x. The historical average is 32.5x. This places it at the 67th percentile of its historical range.

What is NXP Semiconductors N.V.'s EV/EBITDA?

NXP Semiconductors N.V.'s current EV/EBITDA is 16.6x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 13.1x.

What is NXP Semiconductors N.V.'s ROE?

NXP Semiconductors N.V.'s return on equity (ROE) is 20.2%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is -1.9%.

Is NXPI stock overvalued?

Based on historical data, NXP Semiconductors N.V. is trading at a P/E of 29.9x. This is at the 67th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What is NXP Semiconductors N.V.'s dividend yield?

NXP Semiconductors N.V.'s current dividend yield is 1.70% with a payout ratio of 50.7%.

What are NXP Semiconductors N.V.'s profit margins?

NXP Semiconductors N.V. has 54.4% gross margin and 27.0% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.

How much debt does NXP Semiconductors N.V. have?

NXP Semiconductors N.V.'s Debt/EBITDA ratio is 3.0x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.