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American Electric Power Co Inc (NYSE:AEP)
EV/EBIT
13.40 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its Earnings Before Interest and Taxes (EBIT). As of today, American Electric Power Co Inc's enterprise value is $47,158 Mil. American Electric Power Co Inc's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2015 was $3,519 Mil. Therefore, American Electric Power Co Inc's EV/EBIT ratio for today is 13.40.

AEP' s 10-Year EV/EBIT Range
Min: 10.2   Max: 18.7
Current: 13.39

10.2
18.7

During the past 13 years, the highest EV/EBIT Ratio of American Electric Power Co Inc was 18.70. The lowest was 10.20. And the median was 13.50.

AEP's EV/EBITis ranked higher than
54% of the 515 Companies
in the Global Utilities - Regulated Electric industry.

( Industry Median: 14.00 vs. AEP: 13.39 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). American Electric Power Co Inc's enterprise value for the quarter that ended in Jun. 2015 was $46,480 Mil. American Electric Power Co Inc's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2015 was $3,519 Mil. American Electric Power Co Inc's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jun. 2015 was 7.57%.


Definition

American Electric Power Co Inc's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Earnings Before Interest and Taxes (EBIT) (TTM)
=47157.920/3519
=13.40

American Electric Power Co Inc's current Enterprise Value is $47,158 Mil.
American Electric Power Co Inc's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2015 was 960 (Sep. 2014 ) + 541 (Dec. 2014 ) + 1163 (Mar. 2015 ) + 855 (Jun. 2015 ) = $3,519 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).

American Electric Power Co 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 )
=3519/46480.4335
=7.57 %

American Electric Power Co Inc's Enterprise Value for the quarter that ended in Jun. 2015 was $46,480 Mil.
American Electric Power Co Inc's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2015 was 960 (Sep. 2014 ) + 541 (Dec. 2014 ) + 1163 (Mar. 2015 ) + 855 (Jun. 2015 ) = $3,519 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.

American Electric Power Co Inc Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebit 13.4813.4213.9210.3211.4712.2011.4013.8313.7514.58

American Electric Power Co Inc Quarterly Data

Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15
ev2ebit 15.0915.4115.2513.7513.1613.2612.5114.5813.6013.21
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