DiageoHAM:GUI -3.54%67 EV-to-EBIT is 14.90 as of Jul. 01, 2026, which is 19% below its 10-year median of 18.45. GuruFocus rates HAM:GUI with a GF Score™ of 67/100 and a GF Value™ of €27.98 (Significantly Undervalued). The stock has 5 warning signs investors should review. Among 163 Beverages - Alcoholic companies, Diageo ranks worse than 53.37% on this metric.
EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, Diageo's Enterprise Value is €59,338 Mil.
Diageo's EBIT for the trailing twelve months (TTM) ended in Dec. 2025 was €3,981 Mil. Therefore, Diageo's EV-to-EBIT for today is 14.90.
The historical rank and industry rank for Diageo's EV-to-EBIT or its related term are showing as below:
HAM:GUI'
s EV-to-EBIT Range Over the Past 10 Years
Min: 11.37 Med: 18.45 Max: 37.84
Current: 14.82
During the past 13 years, the highest EV-to-EBIT of Diageo was 37.84. The lowest was 11.37. And the median was 18.45.
HAM:GUI's EV-to-EBIT is ranked worse than 53.37% of 163
companies
in the Beverages - Alcoholic industry
Industry Median: 14.18
vs HAM:GUI: 14.82
This is a more accurate valuation of companies' operation because it considers the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.
Diageo's Enterprise Value for the quarter that ended in Dec. 2025 was €60,256 Mil.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Diageo's EBIT for the trailing twelve months (TTM) ended in Dec. 2025 was €3,981 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Diageo EV-to-EBIT Related Terms
Diageo EV-to-EBIT Historical Data
* Premium members only.
The historical data trend for Diageo's EV-to-EBIT can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Beverages - Wineries & Distilleries subindustry, Diageo's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Diageo EV-to-EBIT vs Beverages - Alcoholic Industry
For the Beverages - Alcoholic industry and Consumer Defensive sector, Diageo's EV-to-EBIT distribution charts can be found below:
* The bar in red indicates where Diageo's EV-to-EBIT falls into.
Diageo's current Enterprise Value is €59,338 Mil.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Diageo's EBIT for the trailing twelve months (TTM) ended in Dec. 2025 was €3,981 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Diageo (HAM:GUI) has a EV-to-EBIT of 14.90 as of Jul. 01, 2026. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Diageo and its competitors. This is 19% below median its historical median of 18.45. Over the past decade, Diageo's EV-to-EBIT has ranged from 11.37 to 37.84. According to the industry distribution chart, Diageo ranks #87 out of 163 companies in the Beverages - Alcoholic industry, placing it in the top 53.4%.
Is Diageo's EV-to-EBIT too high?
Diageo's current EV-to-EBIT of 14.90 is 19% below median its 10-year median of 18.45. Over the past 10 years, this metric has ranged from a low of 11.37 to a high of 37.84. The Beverages - Alcoholic industry median EV-to-EBIT is 14.18. Diageo's value of 14.90 is 5.1% above this industry median. Based on the distribution chart, Diageo ranks #87 out of 163 companies in the Beverages - Alcoholic industry, which is below the industry midpoint. Overall, Diageo has a GF Score™ of 67/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Diageo's EV-to-EBIT compare to BF.B?
According to the Beverages - Alcoholic industry distribution chart, Diageo ranks #87 out of 163 companies for EV-to-EBIT. This places Diageo in the lower half of its industry. The industry median EV-to-EBIT is 14.18. Diageo's value of 14.90 is 5.1% above this benchmark. Historically, Diageo's own EV-to-EBIT has ranged from 11.37 to 37.84 over the past decade. While the company's 10-year median is 18.45 vs. the industry median of 14.18, Diageo has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBIT for a Beverages - Alcoholic company?
The median EV-to-EBIT among Beverages - Alcoholic companies is 14.18, based on 163 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBIT significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Diageo's current EV-to-EBIT of 14.90 is 5.1% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBIT mean?
A high EV-to-EBIT can signal that a stock is expensive relative to its fundamentals. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Diageo and its competitors. For the Beverages - Alcoholic industry, the median EV-to-EBIT is 14.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Diageo's current EV-to-EBIT is 14.90, which is 19% below median its own 10-year median of 18.45. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Diageo stock overvalued right now?
Based on GuruFocus' analysis, Diageo (HAM:GUI) is currently considered Significantly Undervalued. The stock's GF Value™ is €27.98, compared to a current price of €17.71 — trading 36.7% below its estimated fair value. The current EV-to-EBIT is 14.90, which is 19% below median its 10-year median of 18.45 and 5.1% above the Beverages - Alcoholic industry median of 14.18. Diageo's overall GF Score™ is 67/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBIT calculated?
EV-to-EBIT is calculated from a company's financial statements. For Diageo (HAM:GUI), the current EV-to-EBIT is 14.90 as of Jul. 01, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Diageo (HAM:GUI) Overvalued in 2026?
Based on GuruFocus' analysis, Diageo stock appears to be undervalued.
The current stock price of €17.71 is trading 36.7% below its estimated GF Value™ of €27.98.
GuruFocus considers Diageo to be Significantly Undervalued.
Key valuation signals for HAM:GUI:
EV-to-EBIT: 14.90 (19% below median its 10-year median of 18.45)
GF Value™: €27.98 vs. price of €17.71 (36.7% below fair value)
Industry Position: 5.1% above the Beverages - Alcoholic median (#87 of 163)
No single metric tells the full story. See the HAM:GUI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Formed in 1997 through the merger of Grand Metropolitan and Guinness, Diageo is the largest distiller globally by sales. Diageo acquired some of the Seagram assets in 2001, which gave it brands such as Captain Morgan rum and Crown Royal Canadian whisky. Since then, mergers and acquisitions have mostly been bolt-on in nature, plugging gaps in the company's product and geographic portfolio.
67GF Score
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