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Alcoa Inc (NYSE:AA)
EV/EBIT
12.34 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its Earnings Before Interest and Taxes (EBIT). As of today, Alcoa Inc's enterprise value is $22,470 Mil. Alcoa Inc's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2015 was $1,821 Mil. Therefore, Alcoa Inc's EV/EBIT ratio for today is 12.34.

AA' s 10-Year EV/EBIT Range
Min: -52.5   Max: 152.3
Current: 12.33

-52.5
152.3

During the past 13 years, the highest EV/EBIT Ratio of Alcoa Inc was 152.30. The lowest was -52.50. And the median was 14.80.

AA's EV/EBITis ranked higher than
52% of the 433 Companies
in the Global Aluminum industry.

( Industry Median: 13.05 vs. AA: 12.33 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Alcoa Inc's enterprise value for the quarter that ended in Jun. 2015 was $23,492 Mil. Alcoa Inc's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2015 was $1,821 Mil. Alcoa Inc's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jun. 2015 was 7.75%.


Definition

Alcoa Inc's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Earnings Before Interest and Taxes (EBIT) (TTM)
=22470.459/1821
=12.34

Alcoa Inc's current Enterprise Value is $22,470 Mil.
Alcoa Inc's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2015 was 456 (Sep. 2014 ) + 356 (Dec. 2014 ) + 603 (Mar. 2015 ) + 406 (Jun. 2015 ) = $1,821 Mil.

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


Explanation

This is a more accurate valuation of companies' operation because it consider the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt).

Alcoa Inc's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jun. 2015 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Jun. 2015 )=EBIT (TTM)/Enterprise Value (Q: Jun. 2015 )
=1821/23492.1015
=7.75 %

Alcoa Inc's Enterprise Value for the quarter that ended in Jun. 2015 was $23,492 Mil.
Alcoa Inc's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2015 was 456 (Sep. 2014 ) + 356 (Dec. 2014 ) + 603 (Mar. 2015 ) + 406 (Jun. 2015 ) = $1,821 Mil.

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


Related Terms

Enterprise Value, Earnings Yield (Joel Greenblatt), Earnings Before Interest and Taxes (EBIT)


Historical Data

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

Alcoa Inc Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebit 14.219.068.3918.17-26.4625.8012.6324.09-15.5929.00

Alcoa Inc Quarterly Data

Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15
ev2ebit 22.0523.9918.29-15.59-13.50-17.78-21.6029.0014.9112.90
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