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, ARIAD Pharmaceuticals's Enterprise Value is $4,658.9 Mil.
ARIAD Pharmaceuticals's EBIT for the trailing twelve months (TTM) ended in Sep. 2016 was $-6.0 Mil. Therefore, ARIAD Pharmaceuticals's EV-to-EBIT ratio for today is -774.93.
EV-to-EBITDA is calculated as Enterprise Value divided by its EBITDA. As of today, ARIAD Pharmaceuticals's Enterprise Value is $4,658.9 Mil.
ARIAD Pharmaceuticals's EBITDA for the trailing twelve months (TTM) ended in Sep. 2016 was $9.3 Mil. Therefore, ARIAD Pharmaceuticals's EV-to-EBITDA ratio for today is 498.76.
ARIAD Pharmaceuticals Enterprise Value Historical Data
The historical data trend for ARIAD Pharmaceuticals'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 ARIAD Pharmaceuticals's Enterprise Value
For the Biotechnology subindustry, ARIAD Pharmaceuticals'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.
ARIAD Pharmaceuticals's Enterprise Value Distribution in the Biotechnology Industry
For the Biotechnology industry and Healthcare sector, ARIAD Pharmaceuticals's Enterprise Value distribution charts can be found below:
* The bar in red indicates where ARIAD Pharmaceuticals's Enterprise Value falls into.
ARIAD Pharmaceuticals 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.
ARIAD Pharmaceuticals's Enterprise Value for the fiscal year that ended in Dec. 2015 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.
ARIAD Pharmaceuticals (NAS:ARIA) 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.
ARIAD Pharmaceuticals's current Enterprise Value is $4,658.9 Mil.
ARIAD Pharmaceuticals's EBIT for the trailing twelve months (TTM) ended in Sep. 2016 adds up the quarterly data reported by the company within the most recent 12 months, which was $-6.0 Mil.
2. EV-to-EBITDA is calculated as Enterprise Value divided by its EBITDA.
ARIAD Pharmaceuticals's EV-to-EBITDA for today is:
ARIAD Pharmaceuticals's current Enterprise Value is $4,658.9 Mil.
ARIAD Pharmaceuticals's EBITDA for the trailing twelve months (TTM) ended in Sep. 2016 adds up the quarterly data reported by the company within the most recent 12 months, which was $9.3 Mil.
ARIAD Pharmaceuticals's current Enterprise Value is $4,658.9 Mil.
ARIAD Pharmaceuticals's Revenue for the trailing twelve months (TTM) ended in Sep. 2016 adds up the quarterly data reported by the company within the most recent 12 months, which was $186.2 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.
ARIAD Pharmaceuticals Enterprise Value Related Terms
Thank you for viewing the detailed overview of ARIAD Pharmaceuticals's Enterprise Value provided by GuruFocus.com. Please click on the following links to see related term pages.
ARIAD Pharmaceuticals (ARIAD Pharmaceuticals) Business Description
ARIAD Pharmaceuticals Inc was organized as a Delaware corporation in April 1991. It is an oncology company. The Company is focused on discovery and development of breakthrough medicines to treat cancers by regulating cell signaling with small molecules. The Company's first approved cancer medicine, Iclusig (ponatinib), and its product candidates, AP26113 and ridaforolimus, were discovered internally by its scientists based on the expertise in computational and structure-based drug design. AP26113 is an investigational inhibitor of anaplastic lymphoma kinase, or ALK. In non-clinical studies, AP26113 also demonstrated that it can inhibit epidermal growth factor receptor, or EGFR, and c-ros oncogene-1, or ROS1. . Iclusig and its drug candidates and preclinical compounds are small molecules that can be readily synthesized by processes that it has developed. The Company do not own or operate manufacturing facilities for the production of clinical or commercial quantities of Iclusig or its product candidates. The company's competitors includes pharmaceutical and biotechnology companies such as Amgen Inc., AstraZeneca PLC, Bristol-Myers Squibb Company, Celgene Corporation, Eli Lilly and Company, the Roche Group, GlaxoSmithKline plc, Johnson & Johnson, Merck, Merck KGaA, Novartis AG, Pfizer, Inc., Sanofi-Aventis, Takeda Pharmaceutical Co., Ltd., and Teva Pharmaceutical Industries Ltd.Inc.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
ARIA has been successfully added to your 