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Brown-Forman Corp (NYSE:BF.B)
EV/EBIT
20.27 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, Brown-Forman Corp's enterprise value is $19,598 Mil. Brown-Forman Corp's operating income for the trailing twelve months (TTM) ended in Oct. 2014 was $967 Mil. Therefore, Brown-Forman Corp's EV/EBIT ratio for today is 20.27.

BF.B' s 10-Year EV/EBIT Range
Min: 9.8   Max: 23.3
Current: 19.95

9.8
23.3

During the past 13 years, the highest EV/EBIT Ratio of Brown-Forman Corp was 23.30. The lowest was 9.80. And the median was 15.75.

BF.B's EV/EBITis ranked higher than
78% of the 292 Companies
in the Global Beverages - Wineries & Distilleries industry.

( Industry Median: 19.95 vs. BF.B: 19.95 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Brown-Forman Corp's enterprise value for the quarter that ended in Oct. 2014 was $20,286 Mil. Brown-Forman Corp's Operating Income for the trailing twelve months (TTM) ended in Oct. 2014 was $967 Mil. Brown-Forman Corp's Earnings Yield (Joel Greenblatt) for the quarter that ended in Oct. 2014 was 4.77%.


Definition

Brown-Forman Corp's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=19598.100/967
=20.27

Brown-Forman Corp's current Enterprise Value is $19,598 Mil.
Brown-Forman Corp's Operating Income for the trailing twelve months (TTM) ended in Oct. 2014 was 255 (Jan. 2014 ) + 188 (Apr. 2014 ) + 221 (Jul. 2014 ) + 303 (Oct. 2014 ) = $967 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).

Brown-Forman Corp's Earnings Yield (Joel Greenblatt) for the quarter that ended in Oct. 2014 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Oct. 2014 )=Operating Income (TTM)/Enterprise Value (Q: Oct. 2014 )
=967/20286.2448
=4.77 %

Brown-Forman Corp's Enterprise Value for the quarter that ended in Oct. 2014 was $20,286 Mil.
Brown-Forman Corp's Operating Income for the trailing twelve months (TTM) ended in Oct. 2014 was 255 (Jan. 2014 ) + 188 (Apr. 2014 ) + 221 (Jul. 2014 ) + 303 (Oct. 2014 ) = $967 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.

Brown-Forman Corp Annual Data

Apr05Apr06Apr07Apr08Apr09Apr10Apr11Apr12Apr13Apr14
ev2ebit 16.2016.3615.0113.6612.0713.0812.1115.4717.6920.18

Brown-Forman Corp Quarterly Data

Jul12Oct12Jan13Apr13Jul13Oct13Jan14Apr14Jul14Oct14
ev2ebit 15.8915.7217.1117.6918.5517.1717.8620.1819.7220.67
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