Enterprise Value to EBITDA (EV/EBITDA)
Paying user area
Try for free
Amgen Inc. pages available for free this week:
- Cash Flow Statement
- Common-Size Balance Sheet: Assets
- Analysis of Liquidity Ratios
- Price to FCFE (P/FCFE)
- Capital Asset Pricing Model (CAPM)
- Present Value of Free Cash Flow to Equity (FCFE)
- Selected Financial Data since 2005
- Return on Equity (ROE) since 2005
- Current Ratio since 2005
- Price to Operating Profit (P/OP) since 2005
The data is hidden behind: . Unhide it.
Get full access to the entire website from $10.42/mo, or
get 1-month access to Amgen Inc. for $24.99.
This is a one-time payment. There is no automatic renewal.
We accept:
Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)
Amgen Inc., EBITDA calculation
US$ in millions
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31).
The financial performance indicators demonstrate a generally positive trajectory over the five-year period, with some fluctuation observed in 2024. Earnings metrics consistently increased from 2021 to 2023, before experiencing a decline in 2024, and then recovering strongly in 2025.
- Overall Earnings Growth
- Net income increased from US$5,893 million in 2021 to US$7,711 million in 2025, representing a cumulative growth of approximately 31%. This growth was not linear, with a notable decrease in 2024 before a substantial rebound. Earnings before tax followed a similar pattern, rising from US$6,701 million to US$8,976 million over the same period, a growth of roughly 34%.
- EBIT Trend
- Earnings before interest and tax (EBIT) exhibited strong growth from US$7,898 million in 2021 to US$11,731 million in 2025, a cumulative increase of approximately 49%. The year 2024 saw a decrease to US$7,764 million, but this was followed by a significant recovery in 2025. This suggests operational performance is a key driver of overall profitability.
- EBITDA Performance
- Earnings before interest, tax, depreciation, and amortization (EBITDA) increased from US$11,296 million in 2021 to US$16,898 million in 2025, representing a cumulative growth of approximately 49.8%. Similar to other earnings metrics, EBITDA experienced a decline in 2024, falling to US$13,356 million, before a strong recovery in 2025. The consistency of EBITDA growth, even with the 2024 dip, indicates a robust underlying operational cash flow generation capability.
The decline in earnings metrics during 2024 warrants further investigation to determine the underlying causes. However, the subsequent strong recovery in 2025 suggests that the factors impacting 2024 performance were potentially temporary or successfully addressed. The overall trend indicates a company with improving profitability and operational efficiency.
Enterprise Value to EBITDA Ratio, Current
Amgen Inc., current EV/EBITDA calculation, comparison to benchmarks
| Selected Financial Data (US$ in millions) | |
| Enterprise value (EV) | |
| Earnings before interest, tax, depreciation and amortization (EBITDA) | |
| Valuation Ratio | |
| EV/EBITDA | |
| Benchmarks | |
| EV/EBITDA, Competitors1 | |
| AbbVie Inc. | |
| Bristol-Myers Squibb Co. | |
| Danaher Corp. | |
| Eli Lilly & Co. | |
| Gilead Sciences Inc. | |
| Johnson & Johnson | |
| Merck & Co. Inc. | |
| Pfizer Inc. | |
| Regeneron Pharmaceuticals Inc. | |
| Thermo Fisher Scientific Inc. | |
| Vertex Pharmaceuticals Inc. | |
| EV/EBITDA, Sector | |
| Pharmaceuticals, Biotechnology & Life Sciences | |
| EV/EBITDA, Industry | |
| Health Care | |
Based on: 10-K (reporting date: 2025-12-31).
1 Click competitor name to see calculations.
If the company EV/EBITDA is lower then the EV/EBITDA of benchmark then company is relatively undervalued.
Otherwise, if the company EV/EBITDA is higher then the EV/EBITDA of benchmark then company is relatively overvalued.
Enterprise Value to EBITDA Ratio, Historical
Amgen Inc., historical EV/EBITDA calculation, comparison to benchmarks
| Dec 31, 2025 | Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Enterprise value (EV)1 | ||||||
| Earnings before interest, tax, depreciation and amortization (EBITDA)2 | ||||||
| Valuation Ratio | ||||||
| EV/EBITDA3 | ||||||
| Benchmarks | ||||||
| EV/EBITDA, Competitors4 | ||||||
| AbbVie Inc. | ||||||
| Bristol-Myers Squibb Co. | ||||||
| Danaher Corp. | ||||||
| Eli Lilly & Co. | ||||||
| Gilead Sciences Inc. | ||||||
| Johnson & Johnson | ||||||
| Merck & Co. Inc. | ||||||
| Pfizer Inc. | ||||||
| Regeneron Pharmaceuticals Inc. | ||||||
| Thermo Fisher Scientific Inc. | ||||||
| Vertex Pharmaceuticals Inc. | ||||||
| EV/EBITDA, Sector | ||||||
| Pharmaceuticals, Biotechnology & Life Sciences | ||||||
| EV/EBITDA, Industry | ||||||
| Health Care | ||||||
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31).
3 2025 Calculation
EV/EBITDA = EV ÷ EBITDA
= ÷ =
4 Click competitor name to see calculations.
The Enterprise Value to EBITDA ratio exhibited fluctuations over the five-year period. Initially, the ratio decreased slightly before increasing and then decreasing again, suggesting evolving market perceptions of the company’s value relative to its operational cash flow.
- Enterprise Value (EV)
- Enterprise Value demonstrated an overall upward trend, increasing from US$149,300 million in 2021 to US$244,493 million in 2025. However, a slight decrease was observed between 2023 and 2024, from US$209,123 million to US$204,539 million, before resuming growth in the final year.
- Earnings Before Interest, Tax, Depreciation, and Amortization (EBITDA)
- EBITDA generally increased throughout the period, rising from US$11,296 million in 2021 to US$16,898 million in 2025. A dip occurred between 2023 and 2024, with EBITDA decreasing from US$14,801 million to US$13,356 million, but it recovered strongly in the subsequent year.
- EV/EBITDA Ratio
- The EV/EBITDA ratio began at 13.22 in 2021 and decreased to 12.97 in 2022. It then increased to 14.13 in 2023, followed by a rise to 15.31 in 2024, representing the highest value within the observed timeframe. The ratio concluded the period at 14.47 in 2025, indicating a slight decrease from its peak. The fluctuations suggest a dynamic relationship between the company’s enterprise value and its earnings generation capacity.
The observed increase in the EV/EBITDA ratio in 2024, despite a decrease in EBITDA, suggests that the market may have increased its expectations for future growth or perceived a higher level of risk associated with the company. The subsequent decrease in 2025, coinciding with a rise in EBITDA, indicates a potential recalibration of market valuation.