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Volvo ABLTS:0HTP +0.33%86 EV-to-EBITDA is 12.15 as of Jul. 21, 2026, which is 48% above its 10-year median of 8.19. GuruFocus rates LTS:0HTP with a GF Score™ of 86/100 and a GF Value™ of kr242.90 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 179 Farm & Heavy Construction Machinery companies, Volvo AB ranks worse than 61.45% on this metric.
EV-to-EBITDA is calculated as enterprise value divided by its EBITDA. As of today, Volvo AB's enterprise value is kr902,270 Mil.
Volvo AB's EBITDA for the trailing twelve months (TTM) ended in Jun. 2026 was kr74,257 Mil. Therefore, Volvo AB's EV-to-EBITDA for today is 12.15.
The historical rank and industry rank for Volvo AB's EV-to-EBITDA or its related term are showing as below:
LTS:0HTP'
s EV-to-EBITDA Range Over the Past 10 Years
Min: 4.57 Med: 8.19 Max: 12.34
Current: 12.15
During the past 13 years, the highest EV-to-EBITDA of Volvo AB was 12.34. The lowest was 4.57. And the median was 8.19.
LTS:0HTP's EV-to-EBITDA is ranked worse than 61.45% of 179
companies
in the Farm & Heavy Construction Machinery industry
Industry Median: 9.24
vs LTS:0HTP: 12.15
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.
The "classic" EV-to-EBITDA is much better in capturing debt and net cash than the PE Ratio (TTM).
Volvo AB (LTS:0HTP) 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.
Volvo AB's share price for today is kr339.50.
Volvo AB's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was kr17.630.
* 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).
The historical data trend for Volvo AB'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.
LTS:0HTP vs CAT, DE, PCAR: EV-to-EBITDA Comparison
For the Farm & Heavy Construction Machinery subindustry, Volvo AB'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.
Volvo AB EV-to-EBITDA vs Farm & Heavy Construction Machinery Industry
For the Farm & Heavy Construction Machinery industry and Industrials sector, Volvo AB's EV-to-EBITDA distribution charts can be found below:
* The bar in red indicates where Volvo AB's EV-to-EBITDA falls into.
Volvo AB's current Enterprise Value is kr902,270 Mil.
Volvo AB's EBITDA for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was kr74,257 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.
Volvo AB (LTS:0HTP) has a EV-to-EBITDA of 12.15 as of Jul. 21, 2026. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on Volvo AB. This is 48% above median its historical median of 8.19. Over the past decade, Volvo AB's EV-to-EBITDA has ranged from 4.57 to 12.34. According to the industry distribution chart, Volvo AB ranks #110 out of 179 companies in the Farm & Heavy Construction Machinery industry, placing it in the top 61.5%.
Is Volvo AB's EV-to-EBITDA too high?
Volvo AB's current EV-to-EBITDA of 12.15 is 48% above median its 10-year median of 8.19. Over the past 10 years, this metric has ranged from a low of 4.57 to a high of 12.34. The Farm & Heavy Construction Machinery industry median EV-to-EBITDA is 9.24. Volvo AB's value of 12.15 is 31.5% above this industry median. Based on the distribution chart, Volvo AB ranks #110 out of 179 companies in the Farm & Heavy Construction Machinery industry, which is below the industry midpoint. Overall, Volvo AB has a GF Score™ of 86/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Volvo AB's EV-to-EBITDA compare to CAT and DE?
According to the Farm & Heavy Construction Machinery industry distribution chart, Volvo AB ranks #110 out of 179 companies for EV-to-EBITDA. This places Volvo AB in the lower half of its industry. The industry median EV-to-EBITDA is 9.24. Volvo AB's value of 12.15 is 31.5% above this benchmark. Historically, Volvo AB's own EV-to-EBITDA has ranged from 4.57 to 12.34 over the past decade. While the company's 10-year median is 8.19 vs. the industry median of 9.24, Volvo AB 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-EBITDA for a Farm & Heavy Construction Machinery company?
The median EV-to-EBITDA among Farm & Heavy Construction Machinery companies is 9.24, based on 179 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. Volvo AB's current EV-to-EBITDA of 12.15 is 31.5% 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-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 Volvo AB. For the Farm & Heavy Construction Machinery industry, the median EV-to-EBITDA is 9.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Volvo AB's current EV-to-EBITDA is 12.15, which is 48% above median its own 10-year median of 8.19. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Volvo AB stock overvalued right now?
Based on GuruFocus' analysis, Volvo AB (LTS:0HTP) is currently considered Significantly Overvalued. The stock's GF Value™ is kr242.90, compared to a current price of kr339.50 — trading 39.8% above its estimated fair value. The current EV-to-EBITDA is 12.15, which is 48% above median its 10-year median of 8.19 and 31.5% above the Farm & Heavy Construction Machinery industry median of 9.24. Volvo AB's overall GF Score™ is 86/100 with 9 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 Volvo AB (LTS:0HTP), the current EV-to-EBITDA is 12.15 as of Jul. 21, 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 Volvo AB (LTS:0HTP) Overvalued in 2026?
Based on GuruFocus' analysis, Volvo AB stock appears to be overvalued.
The current stock price of kr339.50 is trading 39.8% above its estimated GF Value™ of kr242.90.
GuruFocus considers Volvo AB to be Significantly Overvalued.
Key valuation signals for LTS:0HTP:
EV-to-EBITDA: 12.15 (48% above median its 10-year median of 8.19)
GF Value™: kr242.90 vs. price of kr339.50 (39.8% above fair value)
Industry Position: 31.5% above the Farm & Heavy Construction Machinery median (#110 of 179)
No single metric tells the full story. See the LTS:0HTP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
The Volvo Group is one of the largest global truck, bus, construction equipment, and engine and power system original equipment manufacturers, operating with the Volvo, Renault Truck, Mack Trucks, Volvo Penta, and Nova Bus brands. Among the four largest Western global brands—Volvo, Daimler, Paccar, and Traton—Volvo ranks third in terms of annual deliveries. Its truck, construction equipment, bus, and engines and power system segments contributed 71%, 18%, 5%, and 5%, respectively, to industrial operations' revenue in 2025. An in-house financial services division supports these businesses. In its key regions of Europe, North America, Brazil, and Australia, the truck business holds large market shares of 29%, 17%, 24%, and 22%, respectively.
86GF Score
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