NEMNEUTRAL

EV/EBITDA

6.0x

Updated 152h ago

Sector Performance

15th percentile

NEM

6.0x

Sector Median

13.7x

Sector Avg

18.7x

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Deep Analysis

NEM’s Enterprise Value to EBITDA (EV/EBITDA) ratio of 6.0x means the company is valued at six times its earnings before interest, taxes, depreciation, and amortization—a measure of how cheap or expensive the stock is relative to its cash earnings.

This is well below the sector median of 13.4x, placing NEM in the 14th percentile among its peers, indicating the stock is valued much lower than most comparable companies. The trend has been stable over the last eight quarters, with the metric holding at 6.0x across the three most recent readings and a quarter-over-quarter change of just +0.3% (year-over-year data not available). A low valuation combined with a flat trend suggests limited immediate upside from multiple expansion, but also reduces the risk of a sharp valuation decline. This directly supports the overall NEUTRAL verdict, as the cheapness alone does not signal a catalyst for re-rating.

Frequently Asked Questions

What does the EV/EBITDA tell investors about NEM?

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 NEM'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.