Think of Enterprise Value as the theoretical takeover price. It is more comprehensive than market capitalization (Market Cap), which only includes common equity. Enterprise Value is calculated as the market cap plus debt and minority interest and preferred shares, minus total cash, cash equivalents, and marketable securities.
EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, Spirent Communications's Enterprise Value is $1,316.0 Mil.
Spirent Communications's EBIT for the trailing twelve months (TTM) ended in Dec. 2023 was $23.8 Mil. Therefore, Spirent Communications's EV-to-EBIT ratio for today is 55.29.
Spirent Communications Enterprise Value Historical Data
The historical data trend for Spirent Communications's Enterprise Value can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Competitive Comparison of Spirent Communications's Enterprise Value
For the Software - Infrastructure subindustry, Spirent Communications's Enterprise Value, along with its competitors' market caps and Enterprise Value data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Spirent Communications's Enterprise Value Distribution in the Software Industry
For the Software industry and Technology sector, Spirent Communications's Enterprise Value distribution charts can be found below:
* The bar in red indicates where Spirent Communications's Enterprise Value falls into.
Spirent Communications Enterprise Value Calculation
Enterprise Value is calculated as the market cap plus debt and minority interest and preferred shares, minus total cash, cash equivalents, and marketable securities.
Spirent Communications's Enterprise Value for the fiscal year that ended in Dec. 2023 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Spirent Communications (OTCPK:SPMYY) Enterprise Value Explanation
When an investor buy a company, the investor needs to pay not only the common shares, he/she also needs to pay the shareholders of Preferred Stocks. He also assumes the debt of the company, and receives the cash on the company's balance sheet.
If a company has more cash than debt, the investor actually pays less than the Market Cap because he immediately owns the cash once the transaction goes through.
The market value of Preferred Stock needs to be added to the market value of common stocks in the calculation of Enterprise Value.
For the companies with the same Market Cap, the smaller the Enterprise Value is, the cheaper the company is.
Enterprise Value can be negative when the company's net cash is more than its Market Cap. In this case the investor is basically getting the company for free and get paid for that.
1. EV-to-EBIT is calculated as Enterprise Value divided by its EBIT.
Spirent Communications's current Enterprise Value is $1,316.0 Mil.
For company reported semi-annually or annually, GuruFocus uses latest annual data as the TTM data. Spirent Communications's EBIT for the trailing twelve months (TTM) ended in Dec. 2023 was $23.8 Mil.
2. EV-to-EBITDA is calculated as Enterprise Value divided by its EBITDA.
Spirent Communications's EV-to-EBITDA for today is:
Spirent Communications's current Enterprise Value is $1,316.0 Mil.
For company reported semi-annually or annually, GuruFocus uses latest annual data as the TTM data. Spirent Communications's EBITDA for the trailing twelve months (TTM) ended in Dec. 2023 was $46.3 Mil.
Spirent Communications's current Enterprise Value is $1,316.0 Mil.
For company reported semi-annually or annually, GuruFocus uses latest annual data as the TTM data. Spirent Communications's Revenue for the trailing twelve months (TTM) ended in Dec. 2023 was $474.3 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Spirent Communications Enterprise Value Related Terms
Thank you for viewing the detailed overview of Spirent Communications's Enterprise Value provided by GuruFocus.com. Please click on the following links to see related term pages.
Spirent Communications (Spirent Communications) Business Description
Spirent Communications PLC provides communications technologies including networks, data centers, enterprise IT, mobile communications, connected vehicles or the Internet of Things. The company operates in Networks and Security and Lifecycle Service Assurance segments. The majority of the revenue is derived from the Networks and Security segment that comprises Cloud IP, Application Security and Positioning lines of business with the aim of addressing the needs of the lab test market for Ethernet, Virtual, Data Center, applications test and timing for critical infrastructure.
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