EV/EBITDA

EMR’s current EV/EBITDA of 15.3x means that for every dollar of its earnings before interest, taxes, depreciation, and amortization, the market values the company at $15.30 after accounting for debt and cash.

This multiple sits above the sector median of 13.6x, placing EMR in the 58th percentile among its peer group—indicating it is valued slightly higher than most comparable companies. Over the last eight quarters the trend has been decreasing, though there is no year-over-year change available; quarter-over-quarter the metric fell by 2.4%, narrowing from 15.7x to 15.3x. The combination of an above-median valuation with a downward trajectory suggests that while the stock is not cheap relative to peers, the compression in the multiple could reduce downside risk if earnings hold steady. This pattern of a high but falling EV/EBITDA often reflects an opportunity for value-oriented investors if the decline is driven by earnings growth rather than a loss of market confidence. Overall, the metric supports the NEUTRAL verdict, as the elevated level keeps the stock from being a clear bargain, while the decreasing trend tempers overvaluation concerns.

Frequently Asked Questions

Closest Sector Peers