UNPNEUTRAL

UNP EV/EBITDA Analysis

16.5x

Updated 273h ago·SEC filings & market data

Key Takeaway

EV/EBITDA compares a company's enterprise value to its earnings before interest, taxes, depreciation, and amortization — essentially how many years of pre-tax cash profit it would take to buy the business.

Sector Performance

63th percentile

UNP

16.5x

Sector Median

13.6x

Sector Avg

-30.9x

Prior Period

15.7x(Aug 2026)

↓ Declining

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Deep Analysis

At 16.5x, the current multiple sits above the sector median of 13.6x, placing the stock at the 62nd percentile among peers. The metric is stable over the last eight quarters, with a year-over-year increase of 1.5% and a quarter-over-quarter increase of 4.6%. An above-median valuation with a stable trend means the market is pricing in no major change in earnings power, leaving limited cushion if results disappoint. The higher level suggests a modest risk premium, while the lack of movement offers no clear entry signal. This metric supports the overall NEUTRAL verdict, as it reflects a fairly valued stock relative to peers without a strong directional bias.

Frequently Asked Questions

What does the EV/EBITDA tell investors about UNP?

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 UNP's closest peers by EV/EBITDA?

The closest peers by EV/EBITDA include: SMTC (76.6x), SHOP (80.2x), OKTA (83.5x), TEAM (101.4x), STEM (102.7x).

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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.