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Mead Johnson Nutrition Co (NYSE:MJN)
EV/EBIT
19.36 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, Mead Johnson Nutrition Co's enterprise value is $20,169 Mil. Mead Johnson Nutrition Co's operating income for the trailing twelve months (TTM) ended in Jun. 2014 was $1,042 Mil. Therefore, Mead Johnson Nutrition Co's EV/EBIT ratio for today is 19.36.

MJN' s 10-Year EV/EBIT Range
Min: 9.5   Max: 23
Current: 19.36

9.5
23

During the past 11 years, the highest EV/EBIT Ratio of Mead Johnson Nutrition Co was 23.00. The lowest was 9.50. And the median was 17.85.

MJN's EV/EBITis ranked higher than
63% of the 1255 Companies
in the Global Packaged Foods industry.

( Industry Median: 15.47 vs. MJN: 19.36 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Mead Johnson Nutrition Co's enterprise value for the quarter that ended in Jun. 2014 was $19,164 Mil. Mead Johnson Nutrition Co's Operating Income for the trailing twelve months (TTM) ended in Jun. 2014 was $1,042 Mil. Mead Johnson Nutrition Co's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jun. 2014 was 5.44%.


Definition

Mead Johnson Nutrition Co's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=20169.231/1041.8
=19.36

Mead Johnson Nutrition Co's current Enterprise Value is $20,169 Mil.
Mead Johnson Nutrition Co's Operating Income for the trailing twelve months (TTM) ended in Jun. 2014 was 267.6 (Sep. 2013 ) + 238.1 (Dec. 2013 ) + 291.2 (Mar. 2014 ) + 244.9 (Jun. 2014 ) = $1,042 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).

Mead Johnson Nutrition Co's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jun. 2014 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Jun. 2014 )=Operating Income (TTM)/Enterprise Value (Q: Jun. 2014 )
=1041.8/19163.707
=5.44 %

Mead Johnson Nutrition Co's Enterprise Value for the quarter that ended in Jun. 2014 was $19,164 Mil.
Mead Johnson Nutrition Co's Operating Income for the trailing twelve months (TTM) ended in Jun. 2014 was 267.6 (Sep. 2013 ) + 238.1 (Dec. 2013 ) + 291.2 (Mar. 2014 ) + 244.9 (Jun. 2014 ) = $1,042 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.

Mead Johnson Nutrition Co Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ev2ebit 0.000.000.000.000.0014.0220.0618.9915.6016.95

Mead Johnson Nutrition Co Quarterly Data

Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14
ev2ebit 22.0520.3218.7615.6017.7818.1015.5916.9516.5218.39
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