Switch to:
Starwood Hotels & Resorts Worldwide Inc (NYSE:HOT)
EV/EBIT
19.80 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, Starwood Hotels & Resorts Worldwide Inc's enterprise value is $16,675 Mil. Starwood Hotels & Resorts Worldwide Inc's operating income for the trailing twelve months (TTM) ended in Mar. 2015 was $842 Mil. Therefore, Starwood Hotels & Resorts Worldwide Inc's EV/EBIT ratio for today is 19.80.

HOT' s 10-Year EV/EBIT Range
Min: 5.5   Max: 380.8
Current: 19.8

5.5
380.8

During the past 13 years, the highest EV/EBIT Ratio of Starwood Hotels & Resorts Worldwide Inc was 380.80. The lowest was 5.50. And the median was 18.60.

HOT's EV/EBITis ranked higher than
80% of the 1405 Companies
in the Global Lodging industry.

( Industry Median: 32.04 vs. HOT: 19.80 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Starwood Hotels & Resorts Worldwide Inc's enterprise value for the quarter that ended in Mar. 2015 was $16,533 Mil. Starwood Hotels & Resorts Worldwide Inc's Operating Income for the trailing twelve months (TTM) ended in Mar. 2015 was $842 Mil. Starwood Hotels & Resorts Worldwide Inc's Earnings Yield (Joel Greenblatt) for the quarter that ended in Mar. 2015 was 5.09%.


Definition

Starwood Hotels & Resorts Worldwide Inc's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=16674.712/842
=19.80

Starwood Hotels & Resorts Worldwide Inc's current Enterprise Value is $16,675 Mil.
Starwood Hotels & Resorts Worldwide Inc's Operating Income for the trailing twelve months (TTM) ended in Mar. 2015 was 237 (Jun. 2014 ) + 210 (Sep. 2014 ) + 242 (Dec. 2014 ) + 153 (Mar. 2015 ) = $842 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).

Starwood Hotels & Resorts Worldwide Inc's Earnings Yield (Joel Greenblatt) for the quarter that ended in Mar. 2015 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Mar. 2015 )=Operating Income (TTM)/Enterprise Value (Q: Mar. 2015 )
=842/16533.135
=5.09 %

Starwood Hotels & Resorts Worldwide Inc's Enterprise Value for the quarter that ended in Mar. 2015 was $16,533 Mil.
Starwood Hotels & Resorts Worldwide Inc's Operating Income for the trailing twelve months (TTM) ended in Mar. 2015 was 237 (Jun. 2014 ) + 210 (Sep. 2014 ) + 242 (Dec. 2014 ) + 153 (Mar. 2015 ) = $842 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.

Starwood Hotels & Resorts Worldwide Inc Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebit 17.8718.956.1611.34374.0423.9018.5313.8017.5718.67

Starwood Hotels & Resorts Worldwide Inc Quarterly Data

Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15
ev2ebit 13.8015.0114.4514.2317.5718.3518.9220.2118.6719.64
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)

GuruFocus Premium Plus Membership

FEEDBACK