7 Stocks with Low EV-to-EBITDA Ratios and Attractive Valuations

Wednesday, Jun 25, 2025 4:06 am ET1min read

Affiliated Managers Group, Koninklijke Ahold Delhaize, Noah, Plains GP, and Gibraltar Industries are value stocks with impressive EV-to-EBITDA ratios. EV-to-EBITDA is a valuation metric that considers a company's enterprise value and EBITDA, providing a more comprehensive approach than the price-to-earnings ratio. A low EV-to-EBITDA ratio can signal undervaluation, making these stocks attractive for investors.

Investors seeking undervalued stocks may find interest in Affiliated Managers Group (AMG), Koninklijke Ahold Delhaize, Noah, Plains GP, and Gibraltar Industries. These companies exhibit impressive Enterprise Value (EV) to Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) ratios, indicating potential undervaluation. This metric provides a more comprehensive approach to valuation than the price-to-earnings ratio, as it considers a company's total enterprise value relative to its operating cash flow.

Affiliated Managers Group (AMG)
AMG, headquartered in Massachusetts, is a global asset manager with investments in high-quality, independent partner-owned firms or affiliates. With a Zacks Rank of #1 (Strong Buy), AMG boasts a Value Style Score of A and a VGM Score of B. Its forward earnings multiple is 8X, with a PEG Ratio of 0.6, Price/Cash Flow ratio of 7.5X, and Price/Sales ratio of 2.6X. Five analysts have revised their earnings estimate upwards in the last 60 days, with the Zacks Consensus Estimate increasing to $23.01 [2].

Koninklijke Ahold Delhaize
Koninklijke Ahold Delhaize is a Dutch multinational retailer, operating in the grocery and food retail sectors. The company has a strong focus on sustainable practices and innovation. Its EV-to-EBITDA ratio is a key indicator of its valuation, reflecting the company's comprehensive approach to value creation.

Noah
Noah is a global provider of logistics services, focusing on air, sea, and road transportation. The company's EV-to-EBITDA ratio suggests potential undervaluation, making it an attractive option for value investors seeking to capitalize on market inefficiencies.

Plains GP
Plains GP is a private equity firm with a focus on middle-market companies. Its EV-to-EBITDA ratio indicates that the company may be undervalued, presenting an opportunity for investors seeking to benefit from its growth prospects.

Gibraltar Industries
Gibraltar Industries is a manufacturer of industrial and commercial products. The company's EV-to-EBITDA ratio suggests that it may be undervalued, making it an attractive option for investors seeking to capitalize on market inefficiencies.

Investors should carefully consider the specific risks and uncertainties associated with each company before making investment decisions. It is essential to conduct thorough research and consult with a financial advisor to ensure that these stocks align with your investment objectives and risk tolerance.

References:
[1] https://www.nasdaq.com/articles/alset-inc-initiates-1-million-stock-repurchase-program-enhance-shareholder-value
[2] https://finance.yahoo.com/news/why-affiliated-managers-group-amg-134002116.html

7 Stocks with Low EV-to-EBITDA Ratios and Attractive Valuations

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