• Return to Headlines

Shares of WD-40 Rank the Highest in Terms of EV/EBITDA Ratio in the Household Products Industry (WDFC, CHD, CL, CLX, PG)

By Nick Russo

Below are the three companies in the Household Products industry with the highest enterprise value to EBITDA (EV/EBITDA) ratios. EV/EBITDA is an important metric used in valuing comparable companies. It is capital structure neutral and generally the lower the ratio, the more undervalued the company is believed to be.

WD-40 ranks highest with a an EV/EBITDA ratio of 20.80. Following is Church & Dwight with a an EV/EBITDA ratio of 17.58. Colgate-Palmolive ranks third highest with a an EV/EBITDA ratio of 17.07.

Clorox follows with a an EV/EBITDA ratio of 16.06, and Procter & Gamble rounds out the top five with a an EV/EBITDA ratio of 14.95.

SmarTrend recommended that subscribers consider buying shares of Colgate-Palmolive on February 17th, 2017 as our technology indicated a new Uptrend was in progress when shares hit $71.73. Since that recommendation, shares of Colgate-Palmolive have risen 6.4%. We continue to monitor Colgate-Palmolive for any potential shift so investors can protect gains and will alert SmarTrend subscribers immediately.

Keywords: highest ev/ebitda ratio WD-40 church & dwight Colgate-Palmolive Clorox Procter & Gamble