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EMC Corp (NYSE:EMC)
EV/EBIT
15.36 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, EMC Corp's enterprise value is $60,301 Mil. EMC Corp's operating income for the trailing twelve months (TTM) ended in Sep. 2014 was $3,926 Mil. Therefore, EMC Corp's EV/EBIT ratio for today is 15.36.

EMC' s 10-Year EV/EBIT Range
Min: 9.6   Max: 83.8
Current: 15.36

9.6
83.8

During the past 13 years, the highest EV/EBIT Ratio of EMC Corp was 83.80. The lowest was 9.60. And the median was 18.75.

EMC's EV/EBITis ranked higher than
74% of the 2788 Companies
in the Global Data Storage industry.

( Industry Median: 23.83 vs. EMC: 15.36 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). EMC Corp's enterprise value for the quarter that ended in Sep. 2014 was $58,510 Mil. EMC Corp's Operating Income for the trailing twelve months (TTM) ended in Sep. 2014 was $3,926 Mil. EMC Corp's Earnings Yield (Joel Greenblatt) for the quarter that ended in Sep. 2014 was 6.71%.


Definition

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

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=60301.142/3926
=15.36

EMC Corp's current Enterprise Value is $60,301 Mil.
EMC Corp's Operating Income for the trailing twelve months (TTM) ended in Sep. 2014 was 1460 (Dec. 2013 ) + 645 (Mar. 2014 ) + 874 (Jun. 2014 ) + 947 (Sep. 2014 ) = $3,926 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).

EMC Corp's Earnings Yield (Joel Greenblatt) for the quarter that ended in Sep. 2014 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Sep. 2014 )=Operating Income (TTM)/Enterprise Value (Q: Sep. 2014 )
=3926/58510.4666
=6.71 %

EMC Corp's Enterprise Value for the quarter that ended in Sep. 2014 was $58,510 Mil.
EMC Corp's Operating Income for the trailing twelve months (TTM) ended in Sep. 2014 was 1460 (Dec. 2013 ) + 645 (Mar. 2014 ) + 874 (Jun. 2014 ) + 947 (Sep. 2014 ) = $3,926 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.

EMC Corp Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ev2ebit 31.6619.4224.1520.9211.4023.1717.1412.2612.6111.75

EMC Corp Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
ev2ebit 13.3414.3112.6112.0111.7812.7811.7513.6113.5914.90
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