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Bank of America Corporation (NYSE:BAC)
EV/EBIT
24.38 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, Bank of America Corporation's enterprise value is $299,350 Mil. Bank of America Corporation's operating income for the trailing twelve months (TTM) ended in Mar. 2015 was $12,278 Mil. Therefore, Bank of America Corporation's EV/EBIT ratio for today is 24.38.

BAC' s 10-Year EV/EBIT Range
Min: -1595   Max: 249.3
Current: 24.38

-1595
249.3

During the past 13 years, the highest EV/EBIT Ratio of Bank of America Corporation was 249.30. The lowest was -1595.00. And the median was 22.40.

BAC's EV/EBITis ranked higher than
67% of the 3227 Companies
in the Global Banks - Global industry.

( Industry Median: 20.17 vs. BAC: 24.38 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Bank of America Corporation's enterprise value for the quarter that ended in Mar. 2015 was $285,336 Mil. Bank of America Corporation's Operating Income for the trailing twelve months (TTM) ended in Mar. 2015 was $12,278 Mil. Bank of America Corporation's Earnings Yield (Joel Greenblatt) for the quarter that ended in Mar. 2015 was 4.30%.


Definition

Bank of America Corporation's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=299350.200/12278
=24.38

Bank of America Corporation's current Enterprise Value is $299,350 Mil.
Bank of America Corporation's Operating Income for the trailing twelve months (TTM) ended in Mar. 2015 was 2795 (Jun. 2014 ) + 431 (Sep. 2014 ) + 4310 (Dec. 2014 ) + 4742 (Mar. 2015 ) = $12,278 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).

Bank of America Corporation'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 )
=12278/285336.1823
=4.30 %

Bank of America Corporation's Enterprise Value for the quarter that ended in Mar. 2015 was $285,336 Mil.
Bank of America Corporation's Operating Income for the trailing twelve months (TTM) ended in Mar. 2015 was 2795 (Jun. 2014 ) + 431 (Sep. 2014 ) + 4310 (Dec. 2014 ) + 4742 (Mar. 2015 ) = $12,278 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.

Bank of America Corporation Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebit 16.1315.4025.51111.1768.34-396.55-1,473.19104.4220.4748.97

Bank of America Corporation Quarterly Data

Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15
ev2ebit 104.4282.7052.2730.8120.4724.8929.4253.8548.9723.24
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