Latest Ratios: P/E Ratio -20.8x · EV/EBITDA N/A · ROE -19.5%. (2015–2025 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 | $9.5B | $13.9B | $17.9B | $27.3B | $14.4B | $73.3B | $72.9B | $22.5B | $7.2B | $17.0B | — |
| Enterprise Value | $13.1B | $17.6B | $21.1B | $29.9B | $17.1B | $74.0B | $74.3B | $23.2B | $6.8B | $16.7B | — |
| P/E Ratio → | -20.81 | — | — | — | — | — | — | — | — | — | — |
| P/S Ratio | 1.59 | 2.34 | 3.33 | 5.93 | 3.13 | 17.81 | 29.08 | 13.09 | 6.07 | 20.65 | — |
| P/B Ratio | 4.24 | 6.09 | 7.29 | 11.31 | 5.58 | 19.34 | 31.28 | 9.94 | 3.10 | 5.69 | — |
| P/FCF | 21.63 | 31.76 | 81.72 | 784.61 | 260.26 | 328.78 | — | — | — | — | — |
| P/OCF | 14.41 | 21.16 | 43.22 | 110.74 | 77.97 | 250.34 | — | — | — | — | — |
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 | — | 2.96 | 3.93 | 6.48 | 3.73 | 17.96 | 29.66 | 13.51 | 5.74 | 20.27 | — |
| EV / EBITDA | — | — | — | — | — | — | — | — | — | — | — |
| EV / EBIT | — | — | — | — | — | — | — | — | — | — | — |
| EV / FCF | — | 40.15 | 96.35 | 858.32 | 310.02 | 331.64 | — | — | — | — | — |
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 | 55.0% | 55.0% | 53.9% | 54.1% | 60.6% | 57.5% | 52.8% | 47.8% | 32.3% | 13.0% | -11.7% |
| Operating Margin | -9.0% | -9.0% | -14.7% | -30.4% | -30.3% | -17.1% | -34.4% | -64.3% | -107.5% | -422.5% | -128.7% |
| Net Profit Margin | -7.8% | -7.8% | -13.0% | -28.7% | -31.1% | -11.9% | -37.7% | -60.3% | -106.4% | -417.6% | -127.2% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | -19.5% | -19.5% | -28.7% | -53.0% | -44.9% | -15.9% | -41.2% | -45.2% | -47.4% | -152.7% | -45.1% |
| ROA | -5.9% | -5.9% | -8.8% | -16.5% | -18.4% | -7.8% | -20.9% | -30.7% | -40.9% | -133.9% | -38.7% |
| ROIC | -6.9% | -6.9% | -11.1% | -20.3% | -21.4% | -12.8% | -19.1% | -33.8% | -41.4% | -128.8% | -51.3% |
| ROCE | -8.1% | -8.1% | -11.6% | -20.5% | -20.7% | -12.7% | -21.9% | -37.2% | -46.2% | -150.2% | -44.3% |
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 | 2.06 | 2.06 | 1.73 | 1.80 | 1.62 | 0.69 | 0.86 | 0.55 | — | 0.01 | 0.01 |
| Debt / EBITDA | — | — | — | — | — | — | — | — | — | — | — |
| Net Debt / Equity | — | 1.61 | 1.30 | 1.06 | 1.07 | 0.17 | 0.63 | 0.32 | -0.17 | -0.11 | -0.09 |
| Net Debt / EBITDA | — | — | — | — | — | — | — | — | — | — | — |
| Debt / FCF | — | 8.40 | 14.62 | 73.71 | 49.76 | 2.86 | — | — | — | — | — |
| Interest Coverage | -3.70 | -3.70 | -30.19 | -57.77 | -64.27 | -25.84 | -8.53 | -40.34 | -320.87 | -1001.14 | -365.38 |
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 | 3.56 | 3.56 | 3.95 | 4.39 | 4.32 | 5.70 | 5.00 | 5.29 | 5.73 | 6.84 | 7.53 |
| Quick Ratio | 3.56 | 3.56 | 3.95 | 4.39 | 4.32 | 5.70 | 5.00 | 5.29 | 5.73 | 6.84 | 7.53 |
| Cash Ratio | 2.29 | 2.29 | 2.72 | 3.12 | 3.24 | 4.34 | 3.80 | 4.23 | 4.37 | 5.90 | 6.30 |
| Asset Turnover | — | 0.77 | 0.68 | 0.58 | 0.57 | 0.55 | 0.50 | 0.43 | 0.43 | 0.24 | 0.23 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | 84.44 | 91.80 | 101.29 | 93.84 | 94.76 | 108.38 | 104.72 | 109.76 | 123.65 | 146.78 |
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 | — | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | — | — | — | — | — | — | — | — | — |
| FCF Yield | 4.6% | 3.1% | 1.2% | 0.1% | 0.4% | 0.3% | — | — | — | — | — |
| Buyback Yield | 29.0% | 19.8% | 1.7% | 0.7% | 7.0% | 0.0% | 0.0% | 0.0% | 0.0% | 2.3% | — |
| Total Shareholder Yield | 29.0% | 19.8% | 1.7% | 0.7% | 7.0% | 0.0% | 0.0% | 0.0% | 0.0% | 2.3% | — |
| Shares Outstanding | — | $1.7B | $1.7B | $1.6B | $1.6B | $1.6B | $1.5B | $1.4B | $1.3B | $1.2B | $1.2B |
Includes 30+ ratios · 11 years · Updated daily
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Quick answers to the most common questions about buying SNAP stock.
Snap Inc.'s current P/E ratio is -20.8x. This places it at the 50th percentile of its historical range.
Snap Inc.'s return on equity (ROE) is -19.5%. The historical average is -49.3%.
Based on historical data, Snap Inc. is trading at a P/E of -20.8x. This is at the 50th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Snap Inc. has 55.0% gross margin and -9.0% operating margin.
Key Metrics
Top Statement Risk
Persistent GAAP losses and leverage
Metrics are mathematically derived from official filings.
Margin Recovery Tempered by Cloud Costs
Gross margin improved to 58.2% in Q2 2026 from 51.4% a year earlier, per financial statements, yet operating margin remains deeply negative at -10.7%, reflecting structural cloud and R&D expenses.
The 680 basis point gross margin expansion suggests improved ad platform efficiency and cost discipline, but the gap between gross and operating margins highlights the heavy fixed investment in AR and infrastructure. Stock-based compensation, which exceeded the net loss in Q2 2026, continues to mask the true cash cost of operations, implying that reported margins understate the economic drag. Investors should monitor whether revenue growth can outpace these structural costs to achieve sustained operating leverage.
Capital Returns Remain Subscale
ROIC improved to -3.6% in Q2 2026 from -3.7% a year earlier, as reported, but remains deeply negative, indicating the company is still destroying value on invested capital.
Despite the sequential improvement from -5.0% in Q1 2024, ROIC has not turned positive in any quarter over the past ten, reflecting that the asset base, including $1.8 billion in goodwill, is not yet generating sufficient returns. The negative ROE of -8.2% in Q2 2026, though better than the -13.4% in Q1 2024, underscores the persistent erosion of shareholder equity. This suggests that while the trajectory is improving, the business has not reached the scale needed to compound returns.
Working Capital Efficiency Improves
DSO fell to 69 days in Q2 2026 from 91 days in Q1 2024, per the ratio data, while DPO rose to 28 days, indicating tighter receivables collection and extended supplier payments.
The 22-day reduction in DSO suggests improved ad payment collection, likely due to better direct-response ad tools and customer mix. The stable DPO around 28 days indicates modest supplier leverage, but the absence of DIO data limits full CCC assessment. The asset turnover of 0.21 remains low, reflecting the asset-heavy balance sheet from goodwill and intangibles, which may not fully capture the scalability of the cloud-based model.
Leverage Elevated but Coverage Improving
Debt-to-equity fell to 0.44 in Q2 2026 from 2.06 in Q4 2025, as per the balance sheet, yet interest coverage turned negative at -3.37, indicating ongoing earnings shortfall.
The dramatic drop in D/E appears driven by a significant equity raise or debt repayment, but the negative interest coverage suggests that operating income is insufficient to cover interest expenses. The D/EBITDA of 52.64 in Q4 2025 highlights the high leverage relative to cash earnings, though the recent improvement in FCF may alleviate near-term refinancing pressure. Investors should monitor the sustainability of this deleveraging and whether cash flows can cover debt service without further dilution.
Liquidity Buffer Thins but Remains Adequate
Current ratio declined to 2.94 in Q2 2026 from 3.98 a year earlier, as reported, while cash fell to $958.8 million, indicating a shrinking but still comfortable liquidity cushion.
The quick ratio equals the current ratio, reflecting minimal inventory dependence, which is typical for a digital platform. However, the declining cash balance and the fact that buybacks exceeded FCF in Q2 2026 suggest that capital returns are consuming reserves. Under a severe ad revenue downturn, the current ratio could compress further, but the asset-light model and positive FCF provide some resilience.
P/S Misleads on Profitability
The price-to-sales ratio of 1.51 appears low versus peers, but it obscures the lack of GAAP profitability and heavy SBC, as per the ratio data, making EV/EBITDA a more relevant metric.
P/S is often used for high-growth tech firms, but for SNAP, it fails to capture the structural cost drag from cloud infrastructure and SBC, which consumed 16.5% of revenue in Q2 2026. EV/EBITDA is unavailable due to negative EBITDA, but when EBITDA turns positive, it will better reflect the company's cash-generating ability. Investors should adjust for SBC and cloud costs to assess true earning power, rather than relying on revenue multiples.