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Health Net Inc (NYSE:HNT)
EV/EBIT
5.50 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its Earnings Before Interest and Taxes (EBIT). As of today, Health Net Inc's enterprise value is $2,686 Mil. Health Net Inc's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Dec. 2015 was $488 Mil. Therefore, Health Net Inc's EV/EBIT ratio for today is 5.50.

HNT' s EV/EBIT Range Over the Past 10 Years
Min: -2.5   Max: 70
Current: 5.5

-2.5
70

During the past 13 years, the highest EV/EBIT Ratio of Health Net Inc was 70.00. The lowest was -2.50. And the median was 6.40.

HNT's EV/EBIT is ranked higher than
89% of the 18 Companies
in the Global Health Care Plans industry.

( Industry Median: 10.46 vs. HNT: 5.50 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Health Net Inc's enterprise value for the quarter that ended in Dec. 2015 was $2,763 Mil. Health Net Inc's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Dec. 2015 was $488 Mil. Health Net Inc's Earnings Yield (Joel Greenblatt) for the quarter that ended in Dec. 2015 was 17.66%.


Definition

Health Net Inc's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Earnings Before Interest and Taxes (EBIT) (TTM)
=2685.698/487.953
=5.50

Health Net Inc's current Enterprise Value is $2,686 Mil.
Health Net Inc's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Dec. 2015 was 75.758 (Mar. 2015 ) + 140.514 (Jun. 2015 ) + 161.765 (Sep. 2015 ) + 109.916 (Dec. 2015 ) = $488 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).

Health Net Inc's Earnings Yield (Joel Greenblatt) for the quarter that ended in Dec. 2015 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Dec. 2015 )=EBIT (TTM)/Enterprise Value (Q: Dec. 2015 )
=487.953/2762.8152
=17.66 %

Health Net Inc's Enterprise Value for the quarter that ended in Dec. 2015 was $2,763 Mil.
Health Net Inc's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Dec. 2015 was 75.758 (Mar. 2015 ) + 140.514 (Jun. 2015 ) + 161.765 (Sep. 2015 ) + 109.916 (Dec. 2015 ) = $488 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


Related Terms

Enterprise Value, Earnings Yield (Joel Greenblatt), Earnings Before Interest and Taxes (EBIT)


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Health Net Inc Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
ev2ebit 6.278.45-2.0653.823.076.274.962.848.735.66

Health Net Inc Quarterly Data

Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15
ev2ebit 2.662.842.854.755.698.737.248.995.155.66
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