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Accenture PLC (NYSE:ACN)
EV/EBIT
11.89 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, Accenture PLC's enterprise value is $50,051 Mil. Accenture PLC's operating income for the trailing twelve months (TTM) ended in May. 2014 was $4,205 Mil. Therefore, Accenture PLC's EV/EBIT ratio for today is 11.89.

ACN' s 10-Year EV/EBIT Range
Min: 6   Max: 16.1
Current: 11.89

6
16.1

During the past 13 years, the highest EV/EBIT Ratio of Accenture PLC was 16.10. The lowest was 6.00. And the median was 11.30.

ACN's EV/EBITis ranked higher than
85% of the 1830 Companies
in the Global Information Technology Services industry.

( Industry Median: 34.84 vs. ACN: 11.89 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Accenture PLC's enterprise value for the quarter that ended in May. 2014 was $50,449 Mil. Accenture PLC's Operating Income for the trailing twelve months (TTM) ended in May. 2014 was $4,205 Mil. Accenture PLC's Earnings Yield (Joel Greenblatt) for the quarter that ended in May. 2014 was 8.33%.


Definition

Accenture PLC's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=50051.344/4204.65
=11.90

Accenture PLC's current Enterprise Value is $50,051 Mil.
Accenture PLC's Operating Income for the trailing twelve months (TTM) ended in May. 2014 was 983.503 (Aug. 2013 ) + 1091.099 (Nov. 2013 ) + 951.282 (Feb. 2014 ) + 1178.766 (May. 2014 ) = $4,205 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).

Accenture PLC's Earnings Yield (Joel Greenblatt) for the quarter that ended in May. 2014 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: May. 2014 )=Operating Income (TTM)/Enterprise Value (Q: May. 2014 )
=4204.65/50448.9115
=8.33 %

Accenture PLC's Enterprise Value for the quarter that ended in May. 2014 was $50,449 Mil.
Accenture PLC's Operating Income for the trailing twelve months (TTM) ended in May. 2014 was 983.503 (Aug. 2013 ) + 1091.099 (Nov. 2013 ) + 951.282 (Feb. 2014 ) + 1178.766 (May. 2014 ) = $4,205 Mil.

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


Related Terms

Enterprise Value, Operating Income, Earnings Yield (Joel Greenblatt)


Historical Data

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

Accenture PLC Annual Data

Aug04Aug05Aug06Aug07Aug08Aug09Aug10Aug11Aug12Aug13
ev2ebit 13.079.0412.0011.469.167.407.159.169.189.91

Accenture PLC Quarterly Data

Feb12May12Aug12Nov12Feb13May13Aug13Nov13Feb14May14
ev2ebit 9.658.819.1810.4310.8111.679.9110.8112.4912.00
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