BW Valuation

Babcock & Wilcox Enterprises Inc

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5.610

+0.46(8.932%)1D

BW Relative Valuation

BW's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, BW is overvalued; if below, it's undervalued.

Historical Valuation

Babcock & Wilcox Enterprises Inc (BW) is now in the Overvalued zone, suggesting that its current forward PS ratio of 5.61 is considered Overvalued compared with the five-year average of -6.75. The fair price of Babcock & Wilcox Enterprises Inc (BW) is between 1.14 to 1.83 according to relative valuation methord. Compared to the current price of 5.61 USD , Babcock & Wilcox Enterprises Inc is Overvalued By 206.31%.

Relative Value

Fair Zone

1.14-1.83

Current Price：5.61

206.31%

Overvalued

-22.90

Trailing

Forward

17.37

EV/EBITDA

Babcock & Wilcox Enterprises Inc. (BW) has a current EV/EBITDA of 17.37. The 5-year average EV/EBITDA is 8.93. The thresholds are as follows: Strongly Undervalued below 3.74, Undervalued between 3.74 and 6.34, Fairly Valued between 11.52 and 6.34, Overvalued between 11.52 and 14.11, and Strongly Overvalued above 14.11. The current Forward EV/EBITDA of 17.37 falls within the Strongly Overvalued range.

29.68

EV/EBIT

Babcock & Wilcox Enterprises Inc. (BW) has a current EV/EBIT of 29.68. The 5-year average EV/EBIT is 354.74. The thresholds are as follows: Strongly Undervalued below -2597.52, Undervalued between -2597.52 and -1121.39, Fairly Valued between 1830.86 and -1121.39, Overvalued between 1830.86 and 3306.99, and Strongly Overvalued above 3306.99. The current Forward EV/EBIT of 29.68 falls within the Historic Trend Line -Fairly Valued range.

5.61

Babcock & Wilcox Enterprises Inc. (BW) has a current PS of 5.61. The 5-year average PS is 0.48. The thresholds are as follows: Strongly Undervalued below -0.39, Undervalued between -0.39 and 0.05, Fairly Valued between 0.92 and 0.05, Overvalued between 0.92 and 1.36, and Strongly Overvalued above 1.36. The current Forward PS of 5.61 falls within the Strongly Overvalued range.

55.67

P/OCF

Babcock & Wilcox Enterprises Inc. (BW) has a current P/OCF of 55.67. The 5-year average P/OCF is 10.69. The thresholds are as follows: Strongly Undervalued below -22.16, Undervalued between -22.16 and -5.73, Fairly Valued between 27.11 and -5.73, Overvalued between 27.11 and 43.54, and Strongly Overvalued above 43.54. The current Forward P/OCF of 55.67 falls within the Strongly Overvalued range.

-661.82

P/FCF

Babcock & Wilcox Enterprises Inc. (BW) has a current P/FCF of -661.82. The 5-year average P/FCF is 2.78. The thresholds are as follows: Strongly Undervalued below -165.22, Undervalued between -165.22 and -81.22, Fairly Valued between 86.78 and -81.22, Overvalued between 86.78 and 170.78, and Strongly Overvalued above 170.78. The current Forward P/FCF of -661.82 falls within the Strongly Undervalued range.

Babcock & Wilcox Enterprises Inc (BW) has a current Price-to-Book (P/B) ratio of -1.80. Compared to its 3-year average P/B ratio of -24.98 , the current P/B ratio is approximately -92.80% higher. Relative to its 5-year average P/B ratio of -22.84, the current P/B ratio is about -92.12% higher. Babcock & Wilcox Enterprises Inc (BW) has a Forward Free Cash Flow (FCF) yield of approximately -0.18%. Compared to its 3-year average FCF yield of -54.56%, the current FCF yield is approximately -99.67% lower. Relative to its 5-year average FCF yield of -38.75% , the current FCF yield is about -99.54% lower.

-1.80

P/B

Median3y

-24.98

Median5y

-22.84

-0.18

FCF Yield

Median3y

-54.56

Median5y

-38.75

Competitors Valuation Multiple

The average P/S ratio for BW's competitors is 4.76, providing a benchmark for relative valuation. Babcock & Wilcox Enterprises Inc Corp (BW) exhibits a P/S ratio of 5.61, which is 17.77% above the industry average. Given its robust revenue growth of -29.00%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

BW.N

Babcock & Wilcox Enterprises Inc

Performance Decomposition

Market capitalization of BW increased by 183.33% over the past 1 year. The primary factor behind the change was an decrease in P/E Change from -2.01 to -7.69.

The secondary factor is the Revenue Growth, contributed -29.00%to the performance.

Overall, the performance of BW in the past 1 year is driven by P/E Change. Which is more unsustainable.

-29.00%

209.86M → 149.00M

Revenue Growth

-70.78%

-5.27 → -1.54

Margin Expansion

283.11%

-2.01 → -7.69

P/E Change

183.33%