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ConAgra Foods Inc (NYSE:CAG)
Enterprise Value
$24,016 Mil (As of Today)

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 and cash equivalents.

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, ConAgra Foods Inc's enterprise value is $24,016 Mil. ConAgra Foods Inc's operating income for the trailing twelve months (TTM) ended in Nov. 2014 was $613 Mil. Therefore, ConAgra Foods Inc's EV/EBIT ratio for today is 39.21.

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, ConAgra Foods Inc's enterprise value is $24,016 Mil. ConAgra Foods Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Nov. 2014 was $1,221 Mil. Therefore, ConAgra Foods Inc's EV/EBITDA ratio for today is 19.67.

EV/Revenue ratio is calculated as enterprise value divided by its Revenue. As of today, ConAgra Foods Inc's enterprise value is $24,016 Mil. ConAgra Foods Inc's revenue for the trailing twelve months (TTM) ended in Nov. 2014 was $16,678 Mil. Therefore, ConAgra Foods Inc's EV/Revenue ratio for today is 1.44.


Definition

Enterprise Value is calculated as the market cap plus debt and minority interest and preferred shares, minus total cash and cash equivalents.

ConAgra Foods Inc's Enterprise Value for the fiscal year that ended in May. 2014 is calculated as

Enterprise Value (A: May. 2014 )
=Market Cap+Preferred Stock+Long-Term Debt
=13628.016+0+8767.6
+Short-Term Debt Without Lease+Minority Interest-Cash and Cash Equivalents
+226+96.7-183.1
=22,535

ConAgra Foods Inc's Enterprise Value for the quarter that ended in Nov. 2014 is calculated as

Enterprise Value (Q: Nov. 2014 )
=Market Cap+Preferred Stock+Long-Term Debt
=15514.7916+0+7669
+Short-Term Debt Without Lease+Minority Interest-Cash and Cash Equivalents
+809.6+0-121.9
=23,871

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


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/EBIT ratio is calculated as enterprise value divided by its EBIT.

ConAgra Foods Inc's EV/EBIT for today is

EV/EBIT ratio=Enterprise Value (Today)/Operating Income (TTM)
=24015.843/612.5
=39.21

ConAgra Foods Inc's current Enterprise Value is $24,016 Mil.
ConAgra Foods Inc's Operating Income for the trailing twelve months (TTM) ended in Nov. 2014 was 425 (Feb. 2014 ) + -180.2 (May. 2014 ) + 211.8 (Aug. 2014 ) + 155.9 (Nov. 2014 ) = $613 Mil.

2. EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA.

ConAgra Foods Inc's EV/EBITDA for today is:

ConAgra Foods Inc's current Enterprise Value is $24,016 Mil.
ConAgra Foods Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Nov. 2014 was 580 (Feb. 2014 ) + -24.7 (May. 2014 ) + 359.9 (Aug. 2014 ) + 305.6 (Nov. 2014 ) = $1,221 Mil.

3. EV/Revenue ratio is calculated as enterprise value divided by its Revenue.

ConAgra Foods Inc's EV/Revenue for today is:

EV/Revenue ratio=Enterprise Value (Today)/Revenue (TTM)
=24015.843/16677.5
=1.44

ConAgra Foods Inc's current Enterprise Value is $24,016 Mil.
ConAgra Foods Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Nov. 2014 was 4389.7 (Feb. 2014 ) + 4436.8 (May. 2014 ) + 3701 (Aug. 2014 ) + 4150 (Nov. 2014 ) = $16,678 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


Related Terms

Market Cap, Preferred Stock, Long-Term Debt, Cash and Cash Equivalents


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

ConAgra Foods Inc Annual Data

May05May06May07May08May09May10May11May12May13May14
ev 17,81014,99215,21715,35911,45713,23312,70713,18223,63622,535

ConAgra Foods Inc Quarterly Data

Aug12Nov12Feb13May13Aug13Nov13Feb14May14Aug14Nov14
ev 13,32515,29324,15423,63623,84723,35621,30422,53522,12423,871
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