ARRYCAUTIOUS

ARRY EV/EBITDA Analysis

42.5x

Higher than 88% of Energy sector peers

Updated 2867h ago·SEC filings & market data

Key Takeaway

The current EV/EBITDA of 42.5x means that Array Technologies’ enterprise value (total company value including debt) is 42.5 times its earnings before interest, taxes, depreciation, and amortization—a common valuation metric.

Sector Performance

88th percentile

ARRY

42.5x

Sector Median

6.4x

Sector Avg

15.5x

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Deep Analysis

This is far above the Energy sector median of 5.8x, placing the stock in the 97th percentile among its peers, indicating the market prices it at an extreme premium relative to its earnings. There is no available trend data: both the year-over-year and quarter-over-quarter changes are listed as N/A, and no historical values beyond the current figure are provided. The combination of an exceptionally high valuation level with no observable trend means that investment risk is elevated—without a track record of improvement, the current multiple relies entirely on future growth expectations that may not materialize. This metric strongly supports the overall CAUTIOUS verdict, as the 42.5x multiple far exceeds the sector norm and signals potential overvaluation if earnings fail to catch up.

Frequently Asked Questions

What does the EV/EBITDA tell investors about ARRY?

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 ARRY's EV/EBITDA compare to its sector?

ARRY's EV/EBITDA of 42.5x compares to a Energy sector median of 6.4x, placing it in the 88th percentile.

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

The closest Energy peers by EV/EBITDA include: DEN (6.4x), PXD (6.2x), VTLE (5.3x), AR (9.0x), APA (2.4x).

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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.