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Avon Products Inc (NYSE:AVP)
EV/EBIT
11.87 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its Earnings Before Interest and Taxes (EBIT). As of today, Avon Products Inc's enterprise value is $3,971 Mil. Avon Products Inc's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2015 was $335 Mil. Therefore, Avon Products Inc's EV/EBIT ratio for today is 11.87.

AVP' s 10-Year EV/EBIT Range
Min: 6.8   Max: 89.7
Current: 11.93

6.8
89.7

During the past 13 years, the highest EV/EBIT Ratio of Avon Products Inc was 89.70. The lowest was 6.80. And the median was 15.60.

AVP's EV/EBITis ranked higher than
62% of the 1114 Companies
in the Global Household & Personal Products industry.

( Industry Median: 15.49 vs. AVP: 11.93 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Avon Products Inc's enterprise value for the quarter that ended in Jun. 2015 was $4,628 Mil. Avon Products Inc's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2015 was $335 Mil. Avon Products Inc's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jun. 2015 was 7.23%.


Definition

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

EV/EBIT=Enterprise Value (Today)/Earnings Before Interest and Taxes (EBIT) (TTM)
=3970.789/334.5
=11.87

Avon Products Inc's current Enterprise Value is $3,971 Mil.
Avon Products Inc's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2015 was 171.9 (Sep. 2014 ) + 122.5 (Dec. 2014 ) + -54 (Mar. 2015 ) + 94.1 (Jun. 2015 ) = $335 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).

Avon Products 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 )
=334.5/4628.0528
=7.23 %

Avon Products Inc's Enterprise Value for the quarter that ended in Jun. 2015 was $4,628 Mil.
Avon Products Inc's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2015 was 171.9 (Sep. 2014 ) + 122.5 (Dec. 2014 ) + -54 (Mar. 2015 ) + 94.1 (Jun. 2015 ) = $335 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.

Avon Products Inc Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebit 11.4419.1320.138.8414.5314.1211.5015.5132.1420.84

Avon Products Inc Quarterly Data

Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15
ev2ebit 21.2219.1320.4832.1474.67283.5752.4920.8416.1613.84
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