TXTNEUTRAL

EV/EBITDA

10.8x

Updated 80h ago

Sector Performance

33th percentile

TXT

10.8x

Sector Median

13.7x

Sector Avg

18.7x

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Deep Analysis

The current EV/EBITDA of 10.8x means the company’s enterprise value equals 10.8 times its earnings before interest, taxes, depreciation, and amortization — a lower multiple often suggests the stock is undervalued relative to its earnings power.

Compared to its sector peers, the company trades at a discount: the sector median is 13.6x, placing TXT in the 34th percentile, meaning 66% of peers have a higher multiple. Over the last eight quarters the metric has been stable, with no year-over-year change available and a slight quarter-over-quarter decline of -0.3% from 10.9x to 10.8x. The combination of a below-median multiple and a stable trend implies limited near-term valuation risk, but also suggests the market sees no catalyst for a re-rating higher. This level aligns with the overall NEUTRAL verdict — the stock is fairly priced relative to its sector, offering neither a clear undervaluation opportunity nor a compelling growth premium.

Frequently Asked Questions

What does the EV/EBITDA tell investors about TXT?

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 TXT'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.