Latest Ratios: P/E Ratio 15.4x · EV/EBITDA 12.0x · ROE 14.3%. (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 | $3.7B | $5.6B | $7.0B | $9.1B | $5.1B | $7.8B | $10.9B | $9.7B | $4.4B | $8.1B | $2.6B |
| Enterprise Value | $3.6B | $5.5B | $6.9B | $9.0B | $5.1B | $7.5B | $10.2B | $9.6B | $4.2B | $7.9B | $2.5B |
| P/E Ratio → | 15.38 | 22.99 | 31.44 | 45.11 | 24.55 | 42.64 | 82.07 | 70.57 | 74.86 | 79.20 | 55.20 |
| P/S Ratio | 5.61 | 8.55 | 10.76 | 15.80 | 8.32 | 14.12 | 25.31 | 23.90 | 17.74 | 24.08 | 13.17 |
| P/B Ratio | 2.11 | 3.16 | 4.31 | 6.29 | 4.02 | 7.11 | 11.89 | 11.93 | 6.35 | 12.26 | 4.96 |
| P/FCF | 23.66 | 36.06 | 33.00 | 320.47 | 64.42 | 52.98 | 89.90 | 59.25 | 45.52 | 78.03 | — |
| P/OCF | 17.32 | 26.40 | 27.46 | 58.85 | 40.44 | 40.90 | 72.95 | 49.94 | 36.03 | 60.59 | 32.61 |
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 | — | 8.41 | 10.63 | 15.68 | 8.21 | 13.61 | 23.86 | 23.58 | 16.88 | 23.68 | 12.47 |
| EV / EBITDA | 11.96 | 18.40 | 24.34 | 34.69 | 16.37 | 27.94 | 52.55 | 49.56 | 47.84 | 45.90 | 27.82 |
| EV / EBIT | 14.18 | 18.56 | 25.31 | 36.87 | 18.88 | 33.00 | 64.95 | 60.33 | 73.62 | 54.35 | 36.26 |
| EV / FCF | — | 35.44 | 32.62 | 318.04 | 63.61 | 51.05 | 84.74 | 58.44 | 43.33 | 76.75 | — |
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 | 73.4% | 73.4% | 77.1% | 76.5% | 79.3% | 79.2% | 80.1% | 81.4% | 78.4% | 83.7% | 86.8% |
| Operating Margin | 38.5% | 38.5% | 36.9% | 37.7% | 43.3% | 41.1% | 36.7% | 39.1% | 22.9% | 43.6% | 34.4% |
| Net Profit Margin | 37.2% | 37.2% | 34.3% | 35.2% | 34.1% | 33.3% | 31.1% | 34.1% | 23.8% | 31.0% | 24.2% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 14.3% | 14.3% | 14.5% | 14.9% | 17.7% | 18.3% | 15.5% | 18.4% | 8.7% | 17.5% | 9.7% |
| ROA | 12.7% | 12.7% | 12.7% | 12.7% | 14.0% | 13.5% | 11.2% | 13.5% | 6.9% | 14.8% | 8.1% |
| ROIC | 11.7% | 11.7% | 12.3% | 12.6% | 19.8% | 30.9% | 24.4% | 20.5% | 8.5% | 24.0% | 13.5% |
| ROCE | 14.0% | 14.0% | 14.7% | 14.7% | 20.0% | 19.1% | 15.3% | 18.0% | 7.5% | 22.4% | 12.3% |
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 | 0.02 | 0.02 | 0.01 | 0.02 | 0.02 | 0.02 | 0.01 | — | — | — | — |
| Debt / EBITDA | 0.15 | 0.15 | 0.07 | 0.09 | 0.09 | 0.10 | 0.04 | — | — | — | — |
| Net Debt / Equity | — | -0.05 | -0.05 | -0.05 | -0.05 | -0.26 | -0.68 | -0.16 | -0.31 | -0.20 | -0.26 |
| Net Debt / EBITDA | -0.32 | -0.32 | -0.28 | -0.27 | -0.21 | -1.06 | -3.20 | -0.68 | -2.42 | -0.77 | -1.56 |
| Debt / FCF | — | -0.62 | -0.38 | -2.43 | -0.81 | -1.93 | -5.16 | -0.81 | -2.19 | -1.28 | — |
| Interest Coverage | — | — | — | — | — | — | — | — | — | — | — |
Net cash position: cash ($138M) exceeds total debt ($43M)
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 | 10.06 | 10.06 | 7.18 | 7.72 | 6.63 | 4.93 | 5.61 | 4.91 | 4.77 | 8.13 | 9.58 |
| Quick Ratio | 7.83 | 7.83 | 5.72 | 6.24 | 5.28 | 4.21 | 5.05 | 4.51 | 4.24 | 7.57 | 9.15 |
| Cash Ratio | 5.58 | 5.58 | 3.93 | 4.33 | 4.26 | 3.53 | 4.43 | 4.00 | 3.87 | 6.59 | 8.16 |
| Asset Turnover | — | 0.33 | 0.35 | 0.35 | 0.40 | 0.38 | 0.34 | 0.36 | 0.27 | 0.43 | 0.32 |
| Inventory Turnover | 0.72 | 0.72 | 0.81 | 0.77 | 0.70 | 0.86 | 0.93 | 1.18 | 0.76 | 1.51 | 1.52 |
| Days Sales Outstanding | — | 67.30 | 64.05 | 88.55 | 54.85 | 70.98 | 70.01 | 54.46 | 63.63 | 56.94 | 45.87 |
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 | 2.3% | 1.5% | 1.1% | 0.7% | 1.1% | 0.5% | 0.3% | 0.2% | 0.3% | 0.1% | — |
| Payout Ratio | 35.3% | 35.3% | 34.3% | 32.9% | 27.1% | 20.6% | 21.3% | 13.6% | 19.2% | 5.4% | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 6.5% | 4.4% | 3.2% | 2.2% | 4.1% | 2.3% | 1.2% | 1.4% | 1.3% | 1.3% | 1.8% |
| FCF Yield | 4.2% | 2.8% | 3.0% | 0.3% | 1.6% | 1.9% | 1.1% | 1.7% | 2.2% | 1.3% | — |
| Buyback Yield | 0.9% | 0.6% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Total Shareholder Yield | 3.2% | 2.1% | 1.1% | 0.7% | 1.1% | 0.5% | 0.3% | 0.2% | 0.3% | 0.1% | 0.0% |
| Shares Outstanding | — | $48M | $48M | $48M | $47M | $47M | $47M | $47M | $47M | $47M | $47M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying OLED stock.
Universal Display Corporation's current P/E ratio is 15.4x. The historical average is 62.8x.
Universal Display Corporation's current EV/EBITDA is 12.0x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 35.8x.
Universal Display Corporation's return on equity (ROE) is 14.3%. The historical average is -22.7%.
Based on historical data, Universal Display Corporation is trading at a P/E of 15.4x. Compare with industry peers and growth rates for a complete picture.
Universal Display Corporation's current dividend yield is 2.30% with a payout ratio of 35.3%.
Universal Display Corporation has 73.4% gross margin and 38.5% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Universal Display Corporation's Debt/EBITDA ratio is 0.1x, indicating low leverage. A ratio below 2x is generally considered financially healthy.
Key Metrics
Top Statement Risk
Revenue concentration and cyclicality
Metrics are mathematically derived from official filings.
Margins Hold Despite Revenue Slide
Gross margin expanded to 79.6% in 2026Q2 from 74.5% a year earlier, even as revenue fell 11.4%, according to recent financial statements, underscoring pricing power and cost discipline.
Operating margin of 35.3% in 2026Q2, though down from 39.9% in 2025Q2, remains robust and reflects the company's ability to maintain profitability amid a demand downturn. Net margin of 32.5% was boosted by a tax benefit, as net income exceeded operating income, which may inflate reported earnings quality. Investors should monitor whether margin resilience persists if revenue declines deepen, as fixed costs could amplify operating leverage negatively.
Returns Compress on Lower Turnover
ROIC fell to 2.6% in 2026Q2 from 3.3% a year earlier, as per reported figures, driven by declining asset turnover of 0.08x, while margins remained high.
The decline in ROIC is primarily a function of revenue contraction, not margin deterioration, as gross and operating margins have held up. Asset turnover of 0.08x is extremely low, reflecting the asset-light model with a large cash and inventory base, which dilutes returns. Over the past ten quarters, ROIC has ranged from 2.0% to 3.4%, indicating a stable but modest return profile that may not fully reflect the company's earning power given its minimal debt.
Inventory Build Pressures Cash Cycle
Cash conversion cycle ballooned to 742 days in 2026Q2 from 427 days a year earlier, as DIO surged to 728 days, based on quarterly data, signaling a significant inventory overhang.
The dramatic increase in days inventory outstanding (DIO) from 421 days in 2025Q2 to 728 days in 2026Q2 suggests either a strategic buildup of materials or a slowdown in demand that is leaving inventory unsold. This has stretched the cash conversion cycle to over two years, which is unusual for a technology company and may indicate obsolescence risk. Days sales outstanding (DSO) remained relatively stable at 66 days, but the inventory surge is the primary driver of working capital inefficiency and warrants close monitoring.
Debt-Free Balance Sheet Provides Flexibility
Total debt fell to zero in 2026Q2 from $22.1M in 2026Q1, with D/E at 0.01 or lower, as per balance sheet data, leaving the company with substantial financial flexibility.
With no debt and a current ratio of 8.50, Universal Display's balance sheet is exceptionally strong, allowing it to weather cyclical downturns without refinancing risk. The absence of interest expense means that interest coverage is not a constraint, and the company can continue to invest in R&D and return capital to shareholders. However, the low leverage also implies that the company is not using debt to enhance returns, which may be appropriate given the cyclicality of its revenue.
Ample Liquidity Masks Inventory Risk
Current ratio improved to 8.50 in 2026Q2 from 6.31 in 2024Q2, with quick ratio at 6.25, indicating strong short-term solvency, though inventory levels are elevated.
The liquidity position is robust, with cash and short-term investments providing a significant cushion against operational shocks. However, the quick ratio of 6.25, while still high, is lower than the current ratio, reflecting that inventory constitutes a meaningful portion of current assets. If the inventory buildup is due to weak demand, it could become a drag on liquidity if write-downs are needed. Nonetheless, the company's cash position and minimal debt suggest it can manage through a prolonged downturn.
Misapplied Metric: P/E on Cyclical Earnings
The P/E ratio of 17.82 is misleading for a cyclical business like OLED, as it uses trailing earnings that may be depressed, making the stock appear cheaper than it is.
Universal Display's earnings are highly cyclical, as evidenced by the 11-14% revenue declines in recent quarters. Using a trailing P/E of 17.82 fails to capture the potential for further earnings contraction, while the forward P/E of 21.50 suggests the market expects earnings to recover. A more appropriate metric would be EV/EBITDA, which at 13.91 is less distorted by non-operating items and tax benefits, or a normalized earnings power that smooths the cycle. Investors should also consider the company's high gross margins and low capital intensity, which support a premium valuation, but the cyclicality of demand must be factored into any multiple.