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Broadcom Ltd (NAS:AVGO)
EV/EBIT
22.09 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its Earnings Before Interest and Taxes (EBIT). As of today, Broadcom Ltd's enterprise value is $36,630 Mil. Broadcom Ltd's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Oct. 2015 was $1,658 Mil. Therefore, Broadcom Ltd's EV/EBIT ratio for today is 22.09.

AVGO' s EV/EBIT Range Over the Past 10 Years
Min: 10.9   Max: 98.8
Current: 24.3

10.9
98.8

During the past 9 years, the highest EV/EBIT Ratio of Broadcom Ltd was 98.80. The lowest was 10.90. And the median was 17.80.

AVGO's EV/EBIT is ranked lower than
68% of the 773 Companies
in the Global Semiconductors industry.

( Industry Median: 13.86 vs. AVGO: 24.30 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Broadcom Ltd's enterprise value for the quarter that ended in Oct. 2015 was $36,143 Mil. Broadcom Ltd's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Oct. 2015 was $1,658 Mil. Broadcom Ltd's Earnings Yield (Joel Greenblatt) for the quarter that ended in Oct. 2015 was 4.59%.


Definition

Broadcom Ltd's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Earnings Before Interest and Taxes (EBIT) (TTM)
=36629.910/1658
=22.09

Broadcom Ltd's current Enterprise Value is $36,630 Mil.
Broadcom Ltd's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Oct. 2015 was 405 (Jan. 2015 ) + 417 (Apr. 2015 ) + 310 (Jul. 2015 ) + 526 (Oct. 2015 ) = $1,658 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).

Broadcom Ltd's Earnings Yield (Joel Greenblatt) for the quarter that ended in Oct. 2015 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Oct. 2015 )=EBIT (TTM)/Enterprise Value (Q: Oct. 2015 )
=1658/36142.8938
=4.59 %

Broadcom Ltd's Enterprise Value for the quarter that ended in Oct. 2015 was $36,143 Mil.
Broadcom Ltd's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Oct. 2015 was 405 (Jan. 2015 ) + 417 (Apr. 2015 ) + 310 (Jul. 2015 ) + 526 (Oct. 2015 ) = $1,658 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.

Broadcom Ltd Annual Data

Oct07Oct08Oct09Oct10Oct11Oct12Oct13Oct14Oct15
ev2ebit 0.000.000.0089.1712.7113.2411.9618.1957.1721.80

Broadcom Ltd Quarterly Data

Jul13Oct13Jan14Apr14Jul14Oct14Jan15Apr15Jul15Oct15
ev2ebit 14.8718.1921.4923.5369.1257.1740.8133.5625.5421.80
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