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IDP Education Ltd
OTC:IDPUF

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IDP Education Ltd
OTC:IDPUF
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Price: 2.5 USD Market Closed
Market Cap: $695.8m

EV/EBIT

12.9
Current
36%
Cheaper
vs 3-y average of 20.1

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
12.9
=
Enterprise Value
$1.5B
/
EBIT
AU$95.4m

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
12.9
=
Enterprise Value
$1.5B
/
EBIT
AU$95.4m

Valuation Scenarios

IDP Education Ltd is trading below its 3-year average

If EV/EBIT returns to its 3-Year Average (20.1), the stock would be worth $3.89 (56% upside from current price).

Statistics
Positive Scenarios
4/4
Maximum Downside
No Downside Scenarios
Maximum Upside
+105%
Average Upside
57%
Scenario EV/EBIT Value Implied Price Upside/Downside
Current Multiple 12.9 $2.5
0%
3-Year Average 20.1 $3.89
+56%
5-Year Average 26.5 $5.14
+105%
Industry Average 17.6 $3.4
+36%
Country Average 16.8 $3.25
+30%

Forward EV/EBIT
Today’s price vs future ebit

Today's Enterprise Value EBIT Forward EV/EBIT
$1.5B
/
Jan 2026
AU$95.4m
=
12.9
Current
$1.5B
/
Jun 2026
AU$118.4m
=
12.3
Forward
$1.5B
/
Jun 2027
AU$147.6m
=
9.9
Forward
$1.5B
/
Jun 2028
AU$178m
=
8.2
Forward

Forward EV/EBIT shows whether today’s EV/EBIT still looks high or low once future ebit are taken into account.

Peer Comparison

All Multiples
EV/EBIT
P/E
All Countries
Close

Market Distribution

Lower than 76% of companies in Australia
Percentile
24th
Based on 1 236 companies
24th percentile
9.1
Low
0 — 10.7
Typical Range
10.7 — 24.5
High
24.5 —
Distribution Statistics
Australia
Min 0
30th Percentile 10.7
Median 16.8
70th Percentile 24.5
Max 6 797.5

IDP Education Ltd
Glance View

IDP Education Ltd., a beacon in the international education sector, has carved out a significant niche by facilitating academic journeys across borders. Founded as a collaborative initiative by Australian universities, IDP has grown exponentially to become one of the world's leading student placement services. The company orchestrates a seamless experience for students aspiring to pursue higher education abroad, focusing predominantly on English-speaking destinations like Australia, the United Kingdom, and the United States. By leveraging its expansive network of over 100 offices in 32 countries, IDP offers personalized counseling and assistance in course selection, application processes, and visa procurement. This ensures that each student is matched with an institution that best fits their aspirations and potential. One of the key features that bolster IDP’s standing is its co-ownership of the IELTS test, a globally recognized English proficiency examination, that serves as a vital stepping stone for students to enter English-centric academia. The company’s revenue model is a testament to its strategic positioning in the education sector. Primarily, IDP generates income from service fees paid by educational institutions for every student successfully placed, creating a commission-based framework that incentivizes successful student-school partnerships. This model not only encourages IDP to maintain high placement standards and robust relationships with educational partners but also aligns their interests tightly with the success of their students. Moreover, IDP derives a significant slice of its revenue from the administration and co-ownership of IELTS. As global demand for English competency certification continues to rise, IDP benefits from the escalating number of test-takers seeking to fulfill the linguistic admission criteria of international universities. This dual-channel revenue stream effectively positions IDP Education as a cornerstone of the global education and student mobility industry, underscored by a symbiotic relationship with the educational aspirations of students worldwide.

IDPUF Intrinsic Value
3.73 USD
Undervaluation 33%
Intrinsic Value
Price $2.5
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