Latest Ratios: P/E Ratio -59.4x · EV/EBITDA 28.6x · ROE -5.4%. (2018–2025 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 |
|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $860M | $417M | $798M | $914M | $729M | $1.9B | $1.3B | — | — |
| Enterprise Value | $759M | $315M | $743M | $864M | $663M | $1.9B | $1.3B | — | — |
| P/E Ratio → | -59.42 | — | 63.87 | 101.94 | 25.62 | 34.05 | 50.84 | — | — |
| P/S Ratio | 3.04 | 1.47 | 2.74 | 3.42 | 2.84 | 8.50 | 9.04 | — | — |
| P/B Ratio | 3.30 | 1.59 | 2.88 | 3.09 | 2.34 | 7.50 | 7.66 | — | — |
| P/FCF | 12.89 | 6.25 | 22.86 | 17.30 | 19.02 | 39.10 | — | — | — |
| P/OCF | 10.61 | 5.14 | 10.86 | 11.26 | 8.36 | 21.74 | 55.26 | — | — |
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 |
|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.11 | 2.55 | 3.23 | 2.59 | 8.25 | 8.50 | — | — |
| EV / EBITDA | 28.62 | 11.89 | 15.07 | 18.45 | 8.23 | 25.13 | 26.63 | — | — |
| EV / EBIT | — | — | 41.77 | 82.20 | 17.70 | 28.88 | 39.83 | — | — |
| EV / FCF | — | 4.73 | 21.28 | 16.34 | 17.31 | 37.94 | — | — | — |
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 |
|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 63.6% | 63.6% | 65.3% | 62.8% | 68.2% | 74.3% | 72.3% | 68.3% | 68.5% |
| Operating Margin | -6.1% | -6.1% | 1.3% | 0.8% | 15.8% | 25.9% | 21.3% | 7.5% | 5.0% |
| Net Profit Margin | -5.1% | -5.1% | 4.3% | 3.3% | 11.2% | 24.9% | 17.9% | 5.8% | 4.5% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| ROE | -5.4% | -5.4% | 4.4% | 2.9% | 10.1% | 26.2% | 25.6% | 23.7% | 18.7% |
| ROA | -2.0% | -2.0% | 1.7% | 1.3% | 4.8% | 12.3% | 9.2% | 3.4% | 2.5% |
| ROIC | -6.8% | -6.8% | 1.3% | 0.6% | 13.6% | 29.8% | 50.7% | 1634.3% | 137.4% |
| ROCE | -5.5% | -5.5% | 1.2% | 0.6% | 13.0% | 25.4% | 23.0% | 9.2% | 5.7% |
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 |
|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.17 | 0.17 | 0.16 | 0.10 | 0.09 | 0.10 | 0.01 | — | 0.01 |
| Debt / EBITDA | 1.65 | 1.65 | 0.92 | 0.60 | 0.33 | 0.34 | 0.03 | — | 0.02 |
| Net Debt / Equity | — | -0.39 | -0.20 | -0.17 | -0.21 | -0.22 | -0.45 | -1.06 | -0.89 |
| Net Debt / EBITDA | -3.83 | -3.83 | -1.12 | -1.07 | -0.82 | -0.76 | -1.68 | -1.62 | -1.21 |
| Debt / FCF | — | -1.52 | -1.58 | -0.95 | -1.72 | -1.15 | — | -1.70 | -3.53 |
| Interest Coverage | — | — | — | — | — | — | — | — | — |
Net cash position: cash ($146M) exceeds total debt ($44M)
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 |
|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.39 | 1.39 | 1.37 | 1.48 | 1.67 | 1.73 | 1.71 | 1.61 | 1.66 |
| Quick Ratio | 1.39 | 1.39 | 1.37 | 1.48 | 1.67 | 1.73 | 1.71 | 1.61 | 1.66 |
| Cash Ratio | 0.39 | 0.39 | 0.34 | 0.46 | 0.58 | 0.60 | 0.53 | 0.50 | 0.39 |
| Asset Turnover | — | 0.42 | 0.39 | 0.38 | 0.40 | 0.41 | 0.40 | 0.55 | 0.56 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | 462.16 | 532.37 | 513.25 | 447.46 | 461.53 | 538.64 | 377.13 | 401.88 |
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 |
|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | 1.6% | 1.0% | 3.9% | 2.9% | 2.0% | — | — |
| FCF Yield | 7.8% | 16.0% | 4.4% | 5.8% | 5.3% | 2.6% | — | — | — |
| Buyback Yield | 5.4% | 11.2% | 9.4% | 6.5% | 0.0% | 0.0% | 0.0% | — | — |
| Total Shareholder Yield | 5.4% | 11.2% | 9.4% | 6.5% | 0.0% | 0.0% | 0.0% | — | — |
| Shares Outstanding | — | $47M | $54M | $56M | $57M | $57M | $48M | $48M | $48M |
Includes 30+ ratios · 8 years · Updated daily
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Quick answers to the most common questions about buying PUBM stock.
PubMatic, Inc.'s current P/E ratio is -59.4x. The historical average is 55.3x.
PubMatic, Inc.'s current EV/EBITDA is 28.6x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 17.6x.
PubMatic, Inc.'s return on equity (ROE) is -5.4%. The historical average is 13.3%.
Based on historical data, PubMatic, Inc. is trading at a P/E of -59.4x. Compare with industry peers and growth rates for a complete picture.
PubMatic, Inc. has 63.6% gross margin and -6.1% operating margin.
PubMatic, Inc.'s Debt/EBITDA ratio is 1.7x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.
Key Metrics
Top Statement Risk
Sustained profitability at scale
Metrics are mathematically derived from official filings.
Margin Inflection Amid Fixed Costs
Gross margin rebounded to 67.1% in Q2 2026 from 58.3% in Q1, yet operating margin remains thin at 0.7%, per quarterly data, indicating the fixed-cost base still constrains profitability.
The sequential gross margin expansion suggests a favorable mix shift toward higher-value formats like CTV and mobile, but the operating margin of just 0.7% in Q2 2026, after a -23.7% in Q1, shows that operating leverage is only beginning to materialize. Trailing twelve-month operating margin remains negative at -6.1%, implying that the company has not yet achieved sustained profitability at scale. Investors should monitor whether the gross margin improvement can be sustained as revenue growth normalizes, given the high fixed infrastructure costs.
Returns Recovering from Negative Territory
ROIC turned positive at 0.3% in Q2 2026 after seven consecutive negative quarters, per reported figures, suggesting the inflection is real but still far from covering the cost of capital.
The return on invested capital has been volatile, swinging from -7.2% in Q1 2026 to 0.3% in Q2, reflecting the company's high fixed-cost infrastructure and cyclical ad spend. Even the best quarter in the past ten (Q4 2025 at 4.1%) is below typical cost of equity, implying that value creation is not yet evident. The improvement is driven by margin recovery rather than asset efficiency, as asset turnover remains low at 0.12, underscoring the capital intensity of the owned-infrastructure model.
Working Capital Swings Reflect Clearinghouse Role
DSO spiked to 417 days in Q2 2026 from 414 in Q1, while DPO reached 1288 days, per quarterly data, highlighting the extreme working capital cycle inherent in the ad-tech clearinghouse model.
The cash conversion cycle is not calculable due to missing inventory data, but the enormous DPO relative to DSO suggests PubMatic holds significant float, acting as a financial intermediary between advertisers and publishers. The erratic working capital changes, as seen in prior cash flow analysis, indicate that reported earnings may not align with cash generation in any given quarter. This structural feature means that efficiency ratios must be interpreted with caution, as they are driven by payment terms rather than operational efficiency.
Minimal Debt Provides Strategic Flexibility
Debt-to-equity stands at 0.17 with D/EBITDA at 1.99 in Q2 2026, per balance sheet data, indicating a conservative capital structure that supports continued investment during the turnaround.
Total debt of $40.9M against cash of $120.0M (and $145.5M per recent context) leaves the company with a net cash position, providing ample runway to fund strategic initiatives like AgenticOS and CTV without near-term refinancing risk. The low leverage is a key differentiator versus peer Magnite (D/E 0.68), suggesting PubMatic is better insulated from rising rates. However, the negative operating margins mean that interest coverage is not meaningful, and the company must generate sustained profits to avoid eroding its equity base.
Liquidity Buffer Supports Turnaround
Current ratio improved to 1.27 in Q2 2026 from 1.37 in Q1, per quarterly data, with cash of $120M, indicating a solid liquidity position to weather operational volatility.
The quick ratio equals the current ratio at 1.27, reflecting minimal inventory, which is typical for a software platform. The $145.5M cash position (per recent context) provides a cushion against further ad spend contractions, and the low debt means no near-term liquidity threats. However, the negative operating margins and high fixed costs imply that if revenue growth stalls again, cash burn could accelerate, making the current ratio a key metric to monitor.
EV/EBITDA Misleads on Earnings Quality
EV/EBITDA of 27.15 appears rich, but with negative GAAP earnings, this multiple is distorted by non-cash charges like stock-based compensation, per reported figures, obscuring the true cash-generative nature of the business.
The most commonly misapplied ratio for PubMatic is EV/EBITDA, because EBITDA excludes stock-based compensation and other non-cash items that are significant for this company. In Q2 2026, SBC of $8.3M exceeded operating income, meaning EBITDA is substantially higher than operating income, making the multiple look more reasonable than it is. A more appropriate metric is EV/Operating Cash Flow or EV/Unlevered FCF, which better captures the cash generation from the platform. Investors should adjust for SBC and infrastructure capex to assess true earnings power, as the current EV/EBITDA may understate the cost of equity dilution.