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Ashland Inc (NYSE:ASH)
EV/EBIT
32.98 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, Ashland Inc's enterprise value is $10,849 Mil. Ashland Inc's operating income for the trailing twelve months (TTM) ended in Mar. 2015 was $329 Mil. Therefore, Ashland Inc's EV/EBIT ratio for today is 32.98.

ASH' s 10-Year EV/EBIT Range
Min: -0.9   Max: 258.7
Current: 33.32

-0.9
258.7

During the past 13 years, the highest EV/EBIT Ratio of Ashland Inc was 258.70. The lowest was -0.90. And the median was 13.70.

ASH's EV/EBITis ranked lower than
71% of the 766 Companies
in the Global Chemicals industry.

( Industry Median: 17.20 vs. ASH: 33.32 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Ashland Inc's enterprise value for the quarter that ended in Mar. 2015 was $10,878 Mil. Ashland Inc's Operating Income for the trailing twelve months (TTM) ended in Mar. 2015 was $329 Mil. Ashland Inc's Earnings Yield (Joel Greenblatt) for the quarter that ended in Mar. 2015 was 3.02%.


Definition

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

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=10848.800/329
=32.98

Ashland Inc's current Enterprise Value is $10,849 Mil.
Ashland Inc's Operating Income for the trailing twelve months (TTM) ended in Mar. 2015 was 143 (Jun. 2014 ) + -176 (Sep. 2014 ) + 169 (Dec. 2014 ) + 193 (Mar. 2015 ) = $329 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).

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

Earnings Yield (Joel Greenblatt) (Q: Mar. 2015 )=Operating Income (TTM)/Enterprise Value (Q: Mar. 2015 )
=329/10877.6098
=3.02 %

Ashland Inc's Enterprise Value for the quarter that ended in Mar. 2015 was $10,878 Mil.
Ashland Inc's Operating Income for the trailing twelve months (TTM) ended in Mar. 2015 was 143 (Jun. 2014 ) + -176 (Sep. 2014 ) + 169 (Dec. 2014 ) + 193 (Mar. 2015 ) = $329 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.

Ashland Inc Annual Data

Sep05Sep06Sep07Sep08Sep09Sep10Sep11Sep12Sep13Sep14
ev2ebit 3.9711.7612.994.8011.5420.4481.7228.899.40199.43

Ashland Inc Quarterly Data

Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15
ev2ebit 28.1926.2937.879.4010.1513.4814.88199.43143.4333.06
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