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BHP Billiton Ltd (NYSE:BHP)
EV/EBIT
8.38 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, BHP Billiton Ltd's enterprise value is $179,152 Mil. BHP Billiton Ltd's operating income for the trailing twelve months (TTM) ended in Jun. 2014 was $23,412 Mil. Therefore, BHP Billiton Ltd's EV/EBIT ratio for today is 8.38.

BHP' s 10-Year EV/EBIT Range
Min: 4.9   Max: 28.1
Current: 8.38

4.9
28.1

During the past 13 years, the highest EV/EBIT Ratio of BHP Billiton Ltd was 28.10. The lowest was 4.90. And the median was 9.80.

BHP's EV/EBITis ranked higher than
96% of the 2726 Companies
in the Global Industrial Metals & Minerals industry.

( Industry Median: 9999.00 vs. BHP: 8.38 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). BHP Billiton Ltd's enterprise value for the quarter that ended in Jun. 2014 was $215,972 Mil. BHP Billiton Ltd's Operating Income for the trailing twelve months (TTM) ended in Jun. 2014 was $23,412 Mil. BHP Billiton Ltd's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jun. 2014 was 11.04%.


Definition

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

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=179152.300/23412
=7.65

BHP Billiton Ltd's current Enterprise Value is $179,152 Mil.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. BHP Billiton Ltd's Operating Income for the trailing twelve months (TTM) ended in Jun. 2014 was $23,412 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).

BHP Billiton Ltd's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jun. 2014 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Jun. 2014 )=Operating Income (TTM)/Enterprise Value (Q: Jun. 2014 )
=23412/215971.7266
=10.84 %

BHP Billiton Ltd's Enterprise Value for the quarter that ended in Jun. 2014 was $215,972 Mil.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. BHP Billiton Ltd's Operating Income for the trailing twelve months (TTM) ended in Jun. 2014 was $23,412 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.

BHP Billiton Ltd Annual Data

Jun05Jun06Jun07Jun08Jun09Jun10Jun11Jun12Jun13Jun14
ev2ebit 9.898.589.299.4613.259.438.108.298.839.06

BHP Billiton Ltd Semi-Annual Data

Dec09Jun10Dec10Jun11Dec11Jun12Dec12Jun13Dec13Jun14
ev2ebit 0.009.430.008.100.008.290.008.830.009.06
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