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Copart Inc (NAS:CPRT)
Enterprise Value
$4,450 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, Copart Inc's enterprise value is $4,450 Mil. Copart Inc's operating income for the trailing twelve months (TTM) ended in Apr. 2014 was $262 Mil. Therefore, Copart Inc's EV/EBIT ratio for today is 16.98.

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Copart Inc's enterprise value is $4,450 Mil. Copart Inc's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Apr. 2014 was $322 Mil. Therefore, Copart Inc's EV/EBITDA ratio for today is 13.81.

EV/Revenue ratio is calculated as enterprise value divided by its Revenue. As of today, Copart Inc's enterprise value is $4,450 Mil. Copart Inc's revenue for the trailing twelve months (TTM) ended in Apr. 2014 was $1,140 Mil. Therefore, Copart Inc's EV/Revenue ratio for today is 3.90.


Definition

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

Copart Inc's Enterprise Value for the fiscal year that ended in Jul. 2013 is calculated as

Enterprise Value (A: Jul. 2013 )
=Market Cap+Preferred Stock+Long-Term Debt
=4079.6799+0+296.41
+Short-Term Debt Without Lease+Minority Interest-Cash and Cash Equivalents
+92.338+0-63.631
=4,405

Copart Inc's Enterprise Value for the quarter that ended in Apr. 2014 is calculated as

Enterprise Value (Q: Apr. 2014 )
=Market Cap+Preferred Stock+Long-Term Debt
=4565.3049+0+242.106
+Short-Term Debt Without Lease+Minority Interest-Cash and Cash Equivalents
+0+0-132.832
=4,675

* 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.

Copart Inc's EV/EBIT for today is

EV/EBIT ratio=Enterprise Value (Today)/Operating Income (TTM)
=4449.642/262.128
=16.98

Copart Inc's current Enterprise Value is $4,450 Mil.
Copart Inc's Operating Income for the trailing twelve months (TTM) ended in Apr. 2014 was 63.052 (Jul. 2013 ) + 64.959 (Oct. 2013 ) + 71.484 (Jan. 2014 ) + 62.633 (Apr. 2014 ) = $262 Mil.

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

Copart Inc's EV/EBITDA for today is:

Copart Inc's current Enterprise Value is $4,450 Mil.
Copart Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Apr. 2014 was 79.151 (Jul. 2013 ) + 81.035 (Oct. 2013 ) + 85.873 (Jan. 2014 ) + 76.191 (Apr. 2014 ) = $322 Mil.

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

Copart Inc's EV/Revenue for today is:

EV/Revenue ratio=Enterprise Value (Today)/Revenue (TTM)
=4449.642/1139.736
=3.90

Copart Inc's current Enterprise Value is $4,450 Mil.
Copart Inc's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Apr. 2014 was 263.697 (Jul. 2013 ) + 279.883 (Oct. 2013 ) + 286.434 (Jan. 2014 ) + 309.722 (Apr. 2014 ) = $1,140 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.

Copart Inc Annual Data

Jul04Jul05Jul06Jul07Jul08Jul09Jul10Jul11Jul12Jul13
ev 1,8241,9552,1322,2843,7532,8012,8063,1703,2604,405

Copart Inc Quarterly Data

Jan12Apr12Jul12Oct12Jan13Apr13Jul13Oct13Jan14Apr14
ev 3,3303,6063,2603,8674,8584,6734,4054,3274,5464,675
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