COPNEUTRAL

EV/EBITDA

6.6x

Updated 101h ago

Sector Performance

17th percentile

COP

6.6x

Sector Median

13.7x

Sector Avg

18.4x

📊

Deep Analysis

EV/EBITDA measures a company's total value (enterprise value) relative to its cash earnings before interest, taxes, depreciation, and amortization – a lower number often means the stock is cheaper on an earnings basis.

COP's current 6.6x is well below the sector median of 13.6x, placing it in the 16th percentile among peers, meaning 84% of sector companies trade at higher multiples. No year-over-year comparison is available, but the quarter-over-quarter change shows a 5.8% increase from the prior quarter's 6.3x. A low multiple combined with a rising trend implies the valuation discount is narrowing, which could reduce the margin of safety while still keeping the stock relatively inexpensive. This metric supports the NEUTRAL verdict: the low level provides some downside protection, but the upward move suggests potential for further compression of the discount, balancing risk and reward.

Frequently Asked Questions

What does the EV/EBITDA tell investors about COP?

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 COP's closest peers by EV/EBITDA?

The closest peers by EV/EBITDA include: LSPD (-24.2x), BRZE (-24.5x), EVGO (-25.7x), NIO (-36.8x), SNAP (-38.8x).

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.