CARR EV/EBITDA Analysis

An EV/EBITDA of 20.1x means investors pay $20.10 for every $1 of operating earnings before interest, taxes, depreciation, and amortization—a common gauge of corporate value relative to cash-generating power.

That multiple sits well above the sector median of 13.5x, placing CARR in the 73rd percentile among peers, so it remains more expensive than roughly three-quarters of comparable firms. The metric is decreasing, with the most recent quarter down 3.3% from 20.7x, though the year-over-year change is not available. While the downward trend from 21.9x to 20.1x over four quarters trims some valuation risk, the level still signals a premium that could be vulnerable if growth disappoints. The combination of a high multiple with a moderate decline offers limited margin of safety, leaving room for downside if earnings stall. This supports the overall CAUTIOUS verdict, as the premium valuation is not yet justified by a sustained compression toward peer norms.

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