Switch to:
Finisar Corporation (NAS:FNSR)
EV/EBIT
25.00 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, Finisar Corporation's enterprise value is $2,277.4 Mil. Finisar Corporation's operating income for the trailing twelve months (TTM) ended in Jan. 2014 was $90.7 Mil. Therefore, Finisar Corporation's EV/EBIT ratio for today is 25.00.

FNSR' s 10-Year EV/EBIT Range
Min: 10.7   Max: 206.3
Current: 25

10.7
206.3

During the past 13 years, the highest EV/EBIT Ratio of Finisar Corporation was 206.30. The lowest was 10.70. And the median was 34.45.

FNSR's EV/EBITis ranked higher than
53% of the 485 Companies
in the Global Communication Equipment industry.

( Industry Median: 19.94 vs. FNSR: 25.00 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Finisar Corporation's enterprise value for the quarter that ended in Jan. 2014 was $1,998.5 Mil. Finisar Corporation's Operating Income for the trailing twelve months (TTM) ended in Jan. 2014 was $90.7 Mil. Finisar Corporation's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jan. 2014 was 4.54%.


Definition

Finisar Corporation's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=2277.412/90.693
=25.11

Finisar Corporation's current Enterprise Value is $2,277.4 Mil.
Finisar Corporation's Operating Income for the trailing twelve months (TTM) ended in Jan. 2014 was 0.385 (Apr. 2013 ) + 27.103 (Jul. 2013 ) + 30.109 (Oct. 2013 ) + 33.096 (Jan. 2014 ) = $90.7 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).

Finisar Corporation'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 )
=90.693/1998.4702
=4.54 %

Finisar Corporation's Enterprise Value for the quarter that ended in Jan. 2014 was $1,998.5 Mil.
Finisar Corporation's Operating Income for the trailing twelve months (TTM) ended in Jan. 2014 was 0.385 (Apr. 2013 ) + 27.103 (Jul. 2013 ) + 30.109 (Oct. 2013 ) + 33.096 (Jan. 2014 ) = $90.7 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.

Finisar Corporation Annual Data

Apr04Apr05Apr06Apr07Apr08Apr09Apr10Apr11Apr12Apr13
ev2ebit 0.000.000.000.000.000.0095.2020.1530.050.00

Finisar Corporation Quarterly Data

Oct11Jan12Apr12Jul12Oct12Jan13Apr13Jul13Oct13Jan14
ev2ebit 24.7734.5130.0530.7337.00111.630.0060.0634.2422.04
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
Free 7-day Trial
FEEDBACK
Hide