TMNEUTRAL

TM EV/EBITDA Analysis

6.3x

Updated 11h ago·SEC filings & market data

Key Takeaway

EV/EBITDA measures a company’s total value (market cap plus debt minus cash) relative to its cash operating earnings, and TM’s 6.3x means investors pay $6.30 for each $1 of EBITDA.

Sector Performance

16th percentile

6.3x

Sector Median

13.6x

Sector Avg

-62.3x

Prior Period

6.3x(Aug 2026)

→ Stable

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Deep Analysis

EV/EBITDA measures a company’s total value (market cap plus debt minus cash) relative to its cash operating earnings, and TM’s 6.3x means investors pay $6.30 for each $1 of EBITDA.

That is far below the sector median of 13.5x, placing TM in the 16th percentile among peers, so the stock trades at a lower multiple than most comparable companies. The trend is stable: the metric rose only 1.0% year over year and 0.3% quarter over quarter, with the last five readings staying between 6.2x and 6.3x. A low, steady EV/EBITDA suggests limited downside from valuation compression, but also no immediate catalyst for multiple expansion. This combination reduces extreme risk while offering modest upside, aligning with the overall NEUTRAL verdict. Thus, the metric supports the neutral stance by confirming that TM is cheap relative to peers yet showing no momentum to justify a more bullish call.

Frequently Asked Questions

What does the EV/EBITDA tell investors about TM?

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 TM's closest peers by EV/EBITDA?

The closest peers by EV/EBITDA include: FLNC (-22.5x), EVGO (-22.6x), LSPD (-26.9x), BRZE (-29.6x), RBLX (-31.4x).

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Learn More About EV/EBITDA

EV/EBITDA Explained: The Valuation Metric Pro Investors Actually Use

Learn what EV/EBITDA is, why it beats P/E for capital-heavy companies, typical sector ranges, and key limitations every serious investor should know.

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.