BANEUTRAL

EV/EBITDA

-63.0x

Updated 197h ago

Sector Performance

2th percentile

-63.0x

Sector Median

13.7x

Sector Avg

18.4x

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Deep Analysis

The current EV/EBITDA of -63.0x means that for every dollar of earnings before interest, taxes, depreciation, and amortization (EBITDA), the company’s enterprise value (its market cap plus debt minus cash) is negative—indicating negative EBITDA, which typically signals operating losses.

Compared to its sector peers, this is far below the sector median of 13.9x, placing BA in the 1st percentile—the lowest among the group. The trend has been decreasing over the last eight quarters, with a quarter-over-quarter decline of -2.3% from -61.6x to -63.0x (year-over-year change is not available). A negative and worsening EV/EBITDA points to persistent or deepening operational challenges, elevating investment risk as the company fails to generate positive earnings from its operations. This metric does not contradict the overall NEUTRAL verdict; while the extreme negative value and downward trend are clearly unfavorable, the verdict may reflect other stabilizing factors or offsetting expectations.

Frequently Asked Questions

What does the EV/EBITDA tell investors about BA?

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.

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

The closest peers by EV/EBITDA include: SG (-17.5x), LSPD (-24.2x), BRZE (-24.5x), EVGO (-25.7x), NIO (-36.8x).

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.