Melrose Industries (LSE:MRO) EV-to-EBITDA: 7.72 (As of Jul. 27, 2026) — 46% Below Median

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LSE:MRO Melrose Industries PLC LSE:MRO
62 GF Score
Price £4.70
GF Value £6.55
Valuation Modestly Undervalued
! 6 Warning Signs
View Full Analysis

What is Melrose Industries EV-to-EBITDA?

Melrose Industries LSE:MRO -0.76% 62 EV-to-EBITDA is 7.72 as of Jul. 27, 2026, which is 46% below its 10-year median of 14.26. GuruFocus rates LSE:MRO with a GF Score™ of 62/100 and a GF Value™ of £6.55 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 2,475 Industrial Products companies, Melrose Industries ranks better than 76.16% on this metric.

EV-to-EBITDA is calculated as enterprise value divided by its EBITDA. As of today, Melrose Industries's enterprise value is £7,599 Mil. Melrose Industries's EBITDA for the trailing twelve months (TTM) ended in Dec. 2025 was £984 Mil. Therefore, Melrose Industries's EV-to-EBITDA for today is 7.72.

The historical rank and industry rank for Melrose Industries's EV-to-EBITDA or its related term are showing as below:

LSE:MRO' s EV-to-EBITDA Range Over the Past 10 Years
Min: -244.31   Med: 14.26   Max: 142.27
Current: 7.72

During the past 13 years, the highest EV-to-EBITDA of Melrose Industries was 142.27. The lowest was -244.31. And the median was 14.26.

LSE:MRO's EV-to-EBITDA is ranked better than
76.16% of 2475 companies
in the Industrial Products industry
Industry Median: 15.42 vs LSE:MRO: 7.72

EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio to determine the fair market value of a company.

As of today (2026-07-27), Melrose Industries's stock price is £4.704. Melrose Industries's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Dec. 2025 was £0.290. Therefore, Melrose Industries's PE Ratio (TTM) for today is 16.22.

The "classic" EV-to-EBITDA is much better in capturing debt and net cash than the PE Ratio (TTM).


Melrose Industries  (LSE:MRO) EV-to-EBITDA Explanation

EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.

Melrose Industries's PE Ratio (TTM) for today is calculated as:

PE Ratio (TTM)=Share Price (Today)/Earnings per Share (Diluted) (TTM)
=4.704/0.290
=16.22

Melrose Industries's share price for today is £4.704.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Melrose Industries's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Dec. 2025 was £0.290.

* 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.

Study has found that the companies with the lowest EV-to-EBITDA outperforms companies measured as cheap by other ratios such as PE Ratio (TTM).

Please read Which price ratio outperforms the enterprise multiple?


Melrose Industries EV-to-EBITDA Related Terms


Melrose Industries EV-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Melrose Industries's EV-to-EBITDA 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.

Melrose Industries EV-to-EBITDA Chart

Melrose Industries Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
EV-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 17.25 35.04 18.50 22.15 9.29

Melrose Industries Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
EV-to-EBITDA Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 18.50 0.00 22.15 0.00 9.29

LSE:MRO vs GEV, ETN, PH: EV-to-EBITDA Comparison

For the Specialty Industrial Machinery subindustry, Melrose Industries's EV-to-EBITDA, along with its competitors' market caps and EV-to-EBITDA 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.


Melrose Industries EV-to-EBITDA vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Melrose Industries's EV-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Melrose Industries's EV-to-EBITDA falls into.


LSE:MRO
62GF Score
Melrose Industries PLC LSE:MRO
EV-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Melrose Industries EV-to-EBITDA Calculation

Melrose Industries's EV-to-EBITDA for today is calculated as:

EV-to-EBITDA=Enterprise Value (Today)/EBITDA (TTM)
=7598.905/984
=7.72

Melrose Industries's current Enterprise Value is £7,599 Mil.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Melrose Industries's EBITDA for the trailing twelve months (TTM) ended in Dec. 2025 was £984 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.

Frequently Asked Questions Learn more about EV-to-EBITDA →
What does a EV-to-EBITDA of 7.72 mean?
Melrose Industries (LSE:MRO) has a EV-to-EBITDA of 7.72 as of Jul. 27, 2026. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on Melrose Industries. This is 46% below median its historical median of 14.26. According to the industry distribution chart, Melrose Industries ranks #590 out of 2475 companies in the Industrial Products industry, placing it in the top 23.8%.
Is Melrose Industries' EV-to-EBITDA too high?
Melrose Industries' current EV-to-EBITDA of 7.72 is 46% below median its 10-year median of 14.26. The Industrial Products industry median EV-to-EBITDA is 15.42. Melrose Industries' value of 7.72 is 49.9% below this industry median. Based on the distribution chart, Melrose Industries ranks #590 out of 2475 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Melrose Industries has a GF Score™ of 62/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Melrose Industries' EV-to-EBITDA compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Melrose Industries ranks #590 out of 2475 companies for EV-to-EBITDA. This places Melrose Industries in the top 24% of its industry — outperforming the majority of peers. The industry median EV-to-EBITDA is 15.42. Melrose Industries' value of 7.72 is 49.9% below this benchmark. While the company's 10-year median is 14.26 vs. the industry median of 15.42, Melrose Industries has consistently been below 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-EBITDA for an Industrial Products company?
The median EV-to-EBITDA among Industrial Products companies is 15.42, based on 2,475 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBITDA significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBITDA should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Melrose Industries's current EV-to-EBITDA of 7.72 is 49.9% below 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-EBITDA mean?
A high EV-to-EBITDA can signal that a stock is expensive relative to its fundamentals. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on Melrose Industries. For the Industrial Products industry, the median EV-to-EBITDA is 15.42 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Melrose Industries's current EV-to-EBITDA is 7.72, which is 46% below median its own 10-year median of 14.26. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Melrose Industries stock overvalued right now?
Based on GuruFocus' analysis, Melrose Industries (LSE:MRO) is currently considered Modestly Undervalued. The stock's GF Value™ is £6.55, compared to a current price of £4.70 — trading 28.2% below its estimated fair value. The current EV-to-EBITDA is 7.72, which is 46% below median its 10-year median of 14.26 and 49.9% below the Industrial Products industry median of 15.42. Melrose Industries' overall GF Score™ is 62/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBITDA calculated?
EV-to-EBITDA is calculated from a company's financial statements. For Melrose Industries (LSE:MRO), the current EV-to-EBITDA is 7.72 as of Jul. 27, 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 Melrose Industries (LSE:MRO) Overvalued in 2026?

Based on GuruFocus' analysis, Melrose Industries stock appears to be undervalued. The current stock price of £4.70 is trading 28.2% below its estimated GF Value™ of £6.55. GuruFocus considers Melrose Industries to be Modestly Undervalued.

Key valuation signals for LSE:MRO:

  • EV-to-EBITDA: 7.72 (46% below median its 10-year median of 14.26)
  • GF Value™: £6.55 vs. price of £4.70 (28.2% below fair value)
  • GF Score™: 62/100 with 6 warning signs
  • Industry Position: 49.9% below the Industrial Products median (#590 of 2475)

No single metric tells the full story. See the LSE:MRO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Melrose Industries Business Description

Other Exchanges MLSPF:USAMROl:UK27M:Germany
Address 5 Stratton Street, Stratton House, 1st Floor, London, GBR, W1J 8LA
Melrose Industries is a UK-based company that manufactures engines and structures products for all major OEMs across civil and defense markets. The company employs 13,032 people and generates approximately 75% of its revenue from the civil market, manufacturing engines and structures for major OEMs in both civil and defense sectors.In the civil market, the company operates in 90% of existing fleets in service and is a demonstrator partner in the GTF and CFM RISE next-generation engines for narrow-body aircraft.
62GF Score

Get the complete analysis for LSE:MRO

EV-to-EBITDA is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

£4.70
Price
£6.55
GF Value