Valuation ratios measure the quantity of an asset or flaw (e.g., earnings) associated with ownership of a specified claim (e.g., a share of ownership of the enterprise).

Current Valuation Ratios
Historical Valuation Ratios (Summary)
Price to Earnings (P/E)
Price to Operating Profit (P/OP)
Price to Sales (P/S)
Price to Book Value (P/BV)

Edwards Lifesciences Corp., current price multiples

	Edwards Lifesciences Corp.	Becton, Dickinson & Co.	Boston Scientific Corp.	Danaher Corp.	Intuitive Surgical Inc.	Medtronic PLC	Stryker Corp.	Thermo Fisher Scientific Inc.	UnitedHealth Group Inc.	Health Care Equipment & Services	Health Care
Selected Financial Data
Current share price (P)	$72.91
No. shares of common stock outstanding	623,248,273
Growth rate (g)	22.03%

Earnings per share (EPS)	$1.68
Next year expected EPS	$2.05
Operating profit per share	$1.84
Sales per share	$6.98
Book value per share (BVPS)	$6.66
Valuation Ratios (Price Multiples)
Price to earnings (P/E)	43.41	62.28	10.20	55.59	58.49	28.45	37.04	50.51	20.85	30.89	23.24
Price to next year expected earnings	35.57	60.14	8.94	50.93	50.91	27.52	33.59	46.31	18.13	28.31	21.11
Price-earnings-growth (PEG)	1.97	17.54	0.73	6.06	3.93	8.38	3.61	5.58	1.39	3.38	2.30
Price to operating profit (P/OP)	39.62	38.29	31.57	49.99	58.69	28.44	28.44	40.63	14.66	25.83	20.34
Price to sales (P/S)	10.45	3.90	4.46	9.12	18.01	4.71	5.18	7.31	1.20	2.99	3.92
Price to book value (P/BV)	10.95	3.20	3.45	5.40	9.76	2.69	6.02	6.29	5.01	4.80	5.54

Based on: 10-K (filing date: 2020-02-14).

If the company price multiple is lower then the price multiple of benchmark then company stock is relatively undervalued.
Otherwise, if the company price multiple is higher then the price multiple of benchmark then company stock is relatively overvalued.

Edwards Lifesciences Corp., historical price multiples

	Dec 31, 2019	Dec 31, 2018	Dec 31, 2017	Dec 31, 2016	Dec 31, 2015
Price to earnings (P/E)	46.05	51.14	48.16	33.48	37.39
Price to operating profit (P/OP)	42.04	49.37	25.66	25.38	29.11
Price to sales (P/S)	11.09	9.92	8.18	6.43	7.42
Price to book value (P/BV)	11.62	11.76	9.51	7.28	7.39

Based on: 10-K (filing date: 2020-02-14), 10-K (filing date: 2019-02-15), 10-K (filing date: 2018-02-16), 10-K (filing date: 2017-02-17), 10-K (filing date: 2016-02-19).

Valuation ratio	Description	The company
P/E ratio	The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings.	Edwards Lifesciences Corp.’s P/E ratio increased from 2017 to 2018 but then decreased significantly from 2018 to 2019.
P/OP ratio	Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit.	Edwards Lifesciences Corp.’s P/OP ratio increased from 2017 to 2018 but then slightly decreased from 2018 to 2019.
P/S ratio	An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative.	Edwards Lifesciences Corp.’s P/S ratio increased from 2017 to 2018 and from 2018 to 2019.
P/BV ratio	The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company’s required rate of return and its actual rate of return.	Edwards Lifesciences Corp.’s P/BV ratio increased from 2017 to 2018 but then slightly decreased from 2018 to 2019.

Edwards Lifesciences Corp., historical P/E calculation, comparison to benchmarks

	Dec 31, 2019	Dec 31, 2018	Dec 31, 2017	Dec 31, 2016	Dec 31, 2015
No. shares of common stock outstanding¹	627,367,734	623,298,987	630,071,124	637,487,394	643,792,782
Selected Financial Data (US$)
Net income (in thousands)	1,046,900	722,200	583,600	569,500	494,900
Earnings per share (EPS)²	1.67	1.16	0.93	0.89	0.77
Share price^1, 3	76.85	59.26	44.61	29.91	28.74
Valuation Ratio
P/E ratio⁴	46.05	51.14	48.16	33.48	37.39
Benchmarks
P/E Ratio, Competitors⁵
Becton, Dickinson & Co.	65.09	408.36	49.63	36.65	45.52
Boston Scientific Corp.	11.86	33.06	354.70	96.19	—
Danaher Corp.	38.34	29.77	27.25	23.02	17.85
Intuitive Surgical Inc.	48.72	53.03	70.95	37.16	34.24
Medtronic PLC	28.78	37.80	29.96	33.17	40.56
Stryker Corp.	39.24	18.96	54.36	27.92	24.92
Thermo Fisher Scientific Inc.	33.36	35.19	37.66	30.45	26.19
UnitedHealth Group Inc.	20.48	21.09	20.77	21.73	18.18
P/E Ratio, Sector
Health Care Equipment & Services	27.57	29.98	31.28	28.43	27.11
P/E Ratio, Industry
Health Care	22.68	25.04	35.39	22.63	20.66

Based on: 10-K (filing date: 2020-02-14), 10-K (filing date: 2019-02-15), 10-K (filing date: 2018-02-16), 10-K (filing date: 2017-02-17), 10-K (filing date: 2016-02-19).

¹ Data adjusted for splits and stock dividends.

² 2019 Calculation
EPS = Net income ÷ No. shares of common stock outstanding
= 1,046,900,000 ÷ 627,367,734 = 1.67

³ Closing price as at the filing date of Edwards Lifesciences Corp.’s Annual Report.

⁴ 2019 Calculation
P/E ratio = Share price ÷ EPS
= 76.85 ÷ 1.67 = 46.05

⁵ Click competitor name to see calculations.

Valuation ratio	Description	The company
P/E ratio	The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings.	Edwards Lifesciences Corp.’s P/E ratio increased from 2017 to 2018 but then decreased significantly from 2018 to 2019.

Edwards Lifesciences Corp., historical P/OP calculation, comparison to benchmarks

	Dec 31, 2019	Dec 31, 2018	Dec 31, 2017	Dec 31, 2016	Dec 31, 2015
No. shares of common stock outstanding¹	627,367,734	623,298,987	630,071,124	637,487,394	643,792,782
Selected Financial Data (US$)
Operating income (in thousands)	1,146,800	748,200	1,095,500	751,200	635,700
Operating profit per share²	1.83	1.20	1.74	1.18	0.99
Share price^1, 3	76.85	59.26	44.61	29.91	28.74
Valuation Ratio
P/OP ratio⁴	42.04	49.37	25.66	25.38	29.11
Benchmarks
P/OP Ratio, Competitors⁵
Becton, Dickinson & Co.	40.02	43.37	34.59	25.02	29.46
Boston Scientific Corp.	36.71	36.68	28.71	74.67	—
Danaher Corp.	34.47	23.18	22.48	21.37	17.27
Intuitive Surgical Inc.	48.89	49.87	44.40	28.93	27.24
Medtronic PLC	21.26	17.64	22.64	22.18	28.81
Stryker Corp.	30.13	26.55	24.21	21.23	19.27
Thermo Fisher Scientific Inc.	26.84	27.33	28.24	25.13	22.15
UnitedHealth Group Inc.	14.40	14.58	14.42	11.79	9.59
P/OP Ratio, Sector
Health Care Equipment & Services	23.06	21.64	21.05	18.92	18.53
P/OP Ratio, Industry
Health Care	19.85	19.64	19.08	16.21	15.76

Based on: 10-K (filing date: 2020-02-14), 10-K (filing date: 2019-02-15), 10-K (filing date: 2018-02-16), 10-K (filing date: 2017-02-17), 10-K (filing date: 2016-02-19).

¹ Data adjusted for splits and stock dividends.

² 2019 Calculation
Operating profit per share = Operating income ÷ No. shares of common stock outstanding
= 1,146,800,000 ÷ 627,367,734 = 1.83

³ Closing price as at the filing date of Edwards Lifesciences Corp.’s Annual Report.

⁴ 2019 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 76.85 ÷ 1.83 = 42.04

⁵ Click competitor name to see calculations.

Valuation ratio	Description	The company
P/OP ratio	Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit.	Edwards Lifesciences Corp.’s P/OP ratio increased from 2017 to 2018 but then slightly decreased from 2018 to 2019.

Edwards Lifesciences Corp., historical P/S calculation, comparison to benchmarks

	Dec 31, 2019	Dec 31, 2018	Dec 31, 2017	Dec 31, 2016	Dec 31, 2015
No. shares of common stock outstanding¹	627,367,734	623,298,987	630,071,124	637,487,394	643,792,782
Selected Financial Data (US$)
Net sales (in thousands)	4,348,000	3,722,800	3,435,300	2,963,700	2,493,700
Sales per share²	6.93	5.97	5.45	4.65	3.87
Share price^1, 3	76.85	59.26	44.61	29.91	28.74
Valuation Ratio
P/S ratio⁴	11.09	9.92	8.18	6.43	7.42
Benchmarks
P/S Ratio, Competitors⁵
Becton, Dickinson & Co.	4.07	4.06	4.23	2.87	3.08
Boston Scientific Corp.	5.19	5.62	4.08	3.98	3.13
Danaher Corp.	6.29	3.97	3.70	3.48	2.91
Intuitive Surgical Inc.	15.01	16.06	14.96	10.11	8.46
Medtronic PLC	4.36	3.92	4.06	4.07	5.36
Stryker Corp.	5.49	4.95	4.46	4.06	3.61
Thermo Fisher Scientific Inc.	4.83	4.24	4.01	3.37	3.05
UnitedHealth Group Inc.	1.18	1.12	1.10	0.83	0.68
P/S Ratio, Sector
Health Care Equipment & Services	2.67	2.42	2.30	1.93	1.85
P/S Ratio, Industry
Health Care	3.82	3.59	3.60	3.26	3.19

Based on: 10-K (filing date: 2020-02-14), 10-K (filing date: 2019-02-15), 10-K (filing date: 2018-02-16), 10-K (filing date: 2017-02-17), 10-K (filing date: 2016-02-19).

¹ Data adjusted for splits and stock dividends.

² 2019 Calculation
Sales per share = Net sales ÷ No. shares of common stock outstanding
= 4,348,000,000 ÷ 627,367,734 = 6.93

³ Closing price as at the filing date of Edwards Lifesciences Corp.’s Annual Report.

⁴ 2019 Calculation
P/S ratio = Share price ÷ Sales per share
= 76.85 ÷ 6.93 = 11.09

⁵ Click competitor name to see calculations.

Valuation ratio	Description	The company
P/S ratio	An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative.	Edwards Lifesciences Corp.’s P/S ratio increased from 2017 to 2018 and from 2018 to 2019.

Edwards Lifesciences Corp., historical P/BV calculation, comparison to benchmarks

	Dec 31, 2019	Dec 31, 2018	Dec 31, 2017	Dec 31, 2016	Dec 31, 2015
No. shares of common stock outstanding¹	627,367,734	623,298,987	630,071,124	637,487,394	643,792,782
Selected Financial Data (US$)
Stockholders’ equity (in thousands)	4,148,300	3,140,400	2,956,200	2,619,000	2,503,100
Book value per share (BVPS)²	6.61	5.04	4.69	4.11	3.89
Share price^1, 3	76.85	59.26	44.61	29.91	28.74
Valuation Ratio
P/BV ratio⁴	11.62	11.76	9.51	7.28	7.39
Benchmarks
P/BV Ratio, Competitors⁵
Becton, Dickinson & Co.	3.34	3.09	3.95	4.69	4.42
Boston Scientific Corp.	4.02	6.33	5.26	4.96	3.70
Danaher Corp.	3.72	2.80	2.58	2.56	2.53
Intuitive Surgical Inc.	8.13	8.96	9.91	4.73	4.67
Medtronic PLC	2.66	2.31	2.40	2.25	2.04
Stryker Corp.	6.38	5.74	5.56	4.82	4.21
Thermo Fisher Scientific Inc.	4.16	3.75	3.30	2.86	2.42
UnitedHealth Group Inc.	4.92	4.89	4.59	3.98	3.12
P/BV Ratio, Sector
Health Care Equipment & Services	4.28	3.99	3.79	3.30	2.83
P/BV Ratio, Industry
Health Care	5.41	5.41	4.87	4.33	3.90

Based on: 10-K (filing date: 2020-02-14), 10-K (filing date: 2019-02-15), 10-K (filing date: 2018-02-16), 10-K (filing date: 2017-02-17), 10-K (filing date: 2016-02-19).

¹ Data adjusted for splits and stock dividends.

² 2019 Calculation
BVPS = Stockholders’ equity ÷ No. shares of common stock outstanding
= 4,148,300,000 ÷ 627,367,734 = 6.61

³ Closing price as at the filing date of Edwards Lifesciences Corp.’s Annual Report.

⁴ 2019 Calculation
P/BV ratio = Share price ÷ BVPS
= 76.85 ÷ 6.61 = 11.62

⁵ Click competitor name to see calculations.

Valuation ratio	Description	The company
P/BV ratio	The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company’s required rate of return and its actual rate of return.	Edwards Lifesciences Corp.’s P/BV ratio increased from 2017 to 2018 but then slightly decreased from 2018 to 2019.

Edwards Lifesciences Corp. (NYSE:EW)

Common Stock Valuation Ratios (Price Multiples)

Current Valuation Ratios

Historical Valuation Ratios (Summary)

Price to Earnings (P/E)

Price to Operating Profit (P/OP)

Price to Sales (P/S)

Price to Book Value (P/BV)