EV/Revenue compares enterprise value to revenue. It is often used for high-growth or early-stage companies where EBITDA or net income is negative, volatile, or not yet mature.
Formula
EV/Revenue = Enterprise value / Revenue
A revenue multiple is easier to justify when the company has strong gross margin, high retention, efficient CAC payback, and a credible path to profitability. Use it with net revenue retention, gross margin, and WACC by industry.
Related calculator: Enterprise Value Calculator.