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Amazon.com Inc (NAS:AMZN)
EV/EBIT
230.47 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, Amazon.com Inc's enterprise value is $141,666 Mil. Amazon.com Inc's operating income for the trailing twelve months (TTM) ended in Jun. 2014 was $616 Mil. Therefore, Amazon.com Inc's EV/EBIT ratio for today is 230.47.

AMZN' s 10-Year EV/EBIT Range
Min: 17.4   Max: 273.8
Current: 230.47

17.4
273.8

During the past 13 years, the highest EV/EBIT Ratio of Amazon.com Inc was 273.80. The lowest was 17.40. And the median was 50.00.

AMZN's EV/EBITis ranked higher than
55% of the 1203 Companies
in the Global Specialty Retail industry.

( Industry Median: 16.16 vs. AMZN: 230.47 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Amazon.com Inc's enterprise value for the quarter that ended in Jun. 2014 was $144,490 Mil. Amazon.com Inc's Operating Income for the trailing twelve months (TTM) ended in Jun. 2014 was $616 Mil. Amazon.com Inc's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jun. 2014 was 0.43%.


Definition

Amazon.com Inc's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=141665.816/616
=229.98

Amazon.com Inc's current Enterprise Value is $141,666 Mil.
Amazon.com Inc's Operating Income for the trailing twelve months (TTM) ended in Jun. 2014 was -25 (Sep. 2013 ) + 510 (Dec. 2013 ) + 146 (Mar. 2014 ) + -15 (Jun. 2014 ) = $616 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).

Amazon.com Inc's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jun. 2014 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Jun. 2014 )=Operating Income (TTM)/Enterprise Value (Q: Jun. 2014 )
=616/144490.3769
=0.43 %

Amazon.com Inc's Enterprise Value for the quarter that ended in Jun. 2014 was $144,490 Mil.
Amazon.com Inc's Operating Income for the trailing twelve months (TTM) ended in Jun. 2014 was -25 (Sep. 2013 ) + 510 (Dec. 2013 ) + 146 (Mar. 2014 ) + -15 (Jun. 2014 ) = $616 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.

Amazon.com Inc Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ev2ebit 41.3144.0439.7556.0522.3247.4551.9681.90157.21235.26

Amazon.com Inc Quarterly Data

Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14
ev2ebit 116.69153.99207.08157.21175.03192.28216.47235.26209.80234.56
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