APLDNEUTRAL

APLD EV/EBITDA Analysis

781.0x

Higher than 100% of Technology sector peers

Updated 422h ago·SEC filings & market data

Key Takeaway

The EV/EBITDA ratio compares a company’s enterprise value (market cap plus debt minus cash) to its earnings before interest, taxes, depreciation, and amortization.

Sector Performance

100th percentile

APLD

781.0x

Sector Median

17.5x

Sector Avg

45.8x

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Deep Analysis

The EV/EBITDA ratio compares a company’s enterprise value (market cap plus debt minus cash) to its earnings before interest, taxes, depreciation, and amortization.

At 781.0x, Applied Digital’s current value is far above the Technology sector median of 17.6x, placing the stock in the 98th percentile among peers. The year-over-year change, quarter-over-quarter change, and trend over the last eight quarters are all N/A, meaning no historical comparison is available. This extreme valuation level, combined with the absence of trend data, signals high risk: the stock is priced for extraordinary future growth that has not yet materialized in reported earnings. Without a trend line, an investor cannot assess whether this multiple is expanding or contracting. Given that a NEUTRAL verdict often reflects balanced risk and reward, this metric contradicts a neutral stance by highlighting a level that typically indicates extreme optimism or potential overvaluation.

Frequently Asked Questions

What does the EV/EBITDA tell investors about APLD?

A valuation multiple preferred by analysts for capital-intensive or leveraged businesses. Useful for cross-sector comparisons where earnings can be distorted by debt.

How is the EV/EBITDA calculated?

EV/EBITDA is calculated as: Enterprise Value / EBITDA.

How does APLD's EV/EBITDA compare to its sector?

APLD's EV/EBITDA of 781.0x compares to a Technology sector median of 17.5x, placing it in the 100th percentile.

Who are APLD's closest peers by EV/EBITDA?

The closest Technology peers by EV/EBITDA include: YEXT (16.7x), ZI (15.7x), ACLS (15.1x), ADBE (14.1x), AKAM (13.9x).

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Learn More About EV/EBITDA

EV/EBITDA Explained: The Valuation Metric Pro Investors Actually Use

Learn what EV/EBITDA is, why it beats P/E for capital-heavy companies, typical sector ranges, and key limitations every serious investor should know.

The Formula

Enterprise Value / EBITDA

Why It Matters

A valuation multiple preferred by analysts for capital-intensive or leveraged businesses. Useful for cross-sector comparisons where earnings can be distorted by debt.