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Dick's Sporting Goods, Inc. (NYSE:DKS)
EV/EBIT
11.90 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, Dick's Sporting Goods, Inc.'s enterprise value is $6,230 Mil. Dick's Sporting Goods, Inc.'s operating income for the trailing twelve months (TTM) ended in Jan. 2014 was $537 Mil. Therefore, Dick's Sporting Goods, Inc.'s EV/EBIT ratio for today is 11.90.

DKS' s 10-Year EV/EBIT Range
Min: 6   Max: 1822
Current: 11.9

6
1822

During the past 13 years, the highest EV/EBIT Ratio of Dick's Sporting Goods, Inc. was 1822.00. The lowest was 6.00. And the median was 13.90.

DKS's EV/EBITis ranked higher than
65% of the 965 Companies
in the Global Specialty Retail industry.

( Industry Median: 13.30 vs. DKS: 11.90 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Dick's Sporting Goods, Inc.'s enterprise value for the quarter that ended in Jan. 2014 was $6,176 Mil. Dick's Sporting Goods, Inc.'s Operating Income for the trailing twelve months (TTM) ended in Jan. 2014 was $537 Mil. Dick's Sporting Goods, Inc.'s Earnings Yield (Joel Greenblatt) for the quarter that ended in Jan. 2014 was 8.70%.


Definition

Dick's Sporting Goods, Inc.'s EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=6229.656/536.812
=11.60

Dick's Sporting Goods, Inc.'s current Enterprise Value is $6,230 Mil.
Dick's Sporting Goods, Inc.'s Operating Income for the trailing twelve months (TTM) ended in Jan. 2014 was 97.617 (Apr. 2013 ) + 137.095 (Jul. 2013 ) + 79.053 (Oct. 2013 ) + 223.047 (Jan. 2014 ) = $537 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).

Dick's Sporting Goods, Inc.'s Earnings Yield (Joel Greenblatt) for the quarter that ended in Jan. 2014 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Jan. 2014 )=Operating Income (TTM)/Enterprise Value (Q: Jan. 2014 )
=536.812/6175.67
=8.69 %

Dick's Sporting Goods, Inc.'s Enterprise Value for the quarter that ended in Jan. 2014 was $6,176 Mil.
Dick's Sporting Goods, Inc.'s Operating Income for the trailing twelve months (TTM) ended in Jan. 2014 was 97.617 (Apr. 2013 ) + 137.095 (Jul. 2013 ) + 79.053 (Oct. 2013 ) + 223.047 (Jan. 2014 ) = $537 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.

Dick's Sporting Goods, Inc. Annual Data

Jan05Jan06Jan07Jan08Jan09Jan10Jan11Jan12Jan13Jan14
ev2ebit 17.2515.0414.1213.9444.2111.0112.5410.2310.5311.50

Dick's Sporting Goods, Inc. Quarterly Data

Oct11Jan12Apr12Jul12Oct12Jan13Apr13Jul13Oct13Jan14
ev2ebit 11.1010.2312.2511.5311.7810.5311.2411.7312.5811.50
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