Switch to:
Mead Johnson Nutrition Co (NYSE:MJN)
EV/EBIT
15.18 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its Earnings Before Interest and Taxes (EBIT). As of today, Mead Johnson Nutrition Co's enterprise value is $14,562 Mil. Mead Johnson Nutrition Co's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Sep. 2015 was $960 Mil. Therefore, Mead Johnson Nutrition Co's EV/EBIT ratio for today is 15.18.

MJN' s EV/EBIT Range Over the Past 10 Years
Min: 9.5   Max: 23.2
Current: 15.08

9.5
23.2

During the past 13 years, the highest EV/EBIT Ratio of Mead Johnson Nutrition Co was 23.20. The lowest was 9.50. And the median was 18.30.

MJN's EV/EBIT is ranked higher than
57% of the 1740 Companies
in the Global Packaged Foods industry.

( Industry Median: 16.49 vs. MJN: 15.08 )

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 Sep. 2015 was $14,753 Mil. Mead Johnson Nutrition Co's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Sep. 2015 was $960 Mil. Mead Johnson Nutrition Co's Earnings Yield (Joel Greenblatt) for the quarter that ended in Sep. 2015 was 6.50%.


Definition

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

EV/EBIT=Enterprise Value (Today)/Earnings Before Interest and Taxes (EBIT) (TTM)
=14562.092/959.6
=15.18

Mead Johnson Nutrition Co's current Enterprise Value is $14,562 Mil.
Mead Johnson Nutrition Co's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Sep. 2015 was 212 (Dec. 2014 ) + 287.8 (Mar. 2015 ) + 231.8 (Jun. 2015 ) + 228 (Sep. 2015 ) = $960 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 Sep. 2015 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Sep. 2015 )=EBIT (TTM)/Enterprise Value (Q: Sep. 2015 )
=959.6/14752.88
=6.50 %

Mead Johnson Nutrition Co's Enterprise Value for the quarter that ended in Sep. 2015 was $14,753 Mil.
Mead Johnson Nutrition Co's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Sep. 2015 was 212 (Dec. 2014 ) + 287.8 (Mar. 2015 ) + 231.8 (Jun. 2015 ) + 228 (Sep. 2015 ) = $960 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.

Mead Johnson Nutrition Co Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
ev2ebit 0.000.000.0014.0220.0819.0316.0117.6920.600.00

Mead Johnson Nutrition Co Quarterly Data

Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15
ev2ebit 16.0517.6917.2119.2719.9220.6020.6218.8115.370.00
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