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Avery Dennison Corp (NYSE:AVY)
EV/EBIT
12.00 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, Avery Dennison Corp's enterprise value is $5,499 Mil. Avery Dennison Corp's operating income for the trailing twelve months (TTM) ended in Dec. 2013 was $459 Mil. Therefore, Avery Dennison Corp's EV/EBIT ratio for today is 12.00.

AVY' s 10-Year EV/EBIT Range
Min: 9.5   Max: 20.5
Current: 12

9.5
20.5

During the past 13 years, the highest EV/EBIT Ratio of Avery Dennison Corp was 20.50. The lowest was 9.50. And the median was 13.90.

AVY's EV/EBITis ranked higher than
73% of the 1637 Companies
in the Global Diversified Industrials industry.

( Industry Median: 14.80 vs. AVY: 12.00 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Avery Dennison Corp's enterprise value for the quarter that ended in Dec. 2013 was $5,448 Mil. Avery Dennison Corp's Operating Income for the trailing twelve months (TTM) ended in Dec. 2013 was $459 Mil. Avery Dennison Corp's Earnings Yield (Joel Greenblatt) for the quarter that ended in Dec. 2013 was 8.42%.


Definition

Avery Dennison Corp's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=5498.923/458.7
=11.99

Avery Dennison Corp's current Enterprise Value is $5,499 Mil.
Avery Dennison Corp's Operating Income for the trailing twelve months (TTM) ended in Dec. 2013 was 100.8 (Mar. 2013 ) + 124 (Jun. 2013 ) + 116.5 (Sep. 2013 ) + 117.4 (Dec. 2013 ) = $459 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).

Avery Dennison Corp's Earnings Yield (Joel Greenblatt) for the quarter that ended in Dec. 2013 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Dec. 2013 )=Operating Income (TTM)/Enterprise Value (Q: Dec. 2013 )
=458.7/5448.3578
=8.42 %

Avery Dennison Corp's Enterprise Value for the quarter that ended in Dec. 2013 was $5,448 Mil.
Avery Dennison Corp's Operating Income for the trailing twelve months (TTM) ended in Dec. 2013 was 100.8 (Mar. 2013 ) + 124 (Jun. 2013 ) + 116.5 (Sep. 2013 ) + 117.4 (Dec. 2013 ) = $459 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.

Avery Dennison Corp Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ev2ebit 16.5314.6316.0414.5312.9916.7717.4511.5611.8011.88

Avery Dennison Corp Quarterly Data

Sep11Dec11Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13
ev2ebit 15.3811.5612.0711.6512.2211.8013.9413.0611.2111.88
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