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McCormick & Co Inc (NYSE:MKC)
EV/EBIT
20.56 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its Earnings Before Interest and Taxes (EBIT). As of today, McCormick & Co Inc's enterprise value is $13,089 Mil. McCormick & Co Inc's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Aug. 2016 was $637 Mil. Therefore, McCormick & Co Inc's EV/EBIT ratio for today is 20.56.

MKC' s EV/EBIT Range Over the Past 10 Years
Min: 11.9   Max: 25
Current: 20.56

11.9
25

During the past 13 years, the highest EV/EBIT Ratio of McCormick & Co Inc was 25.00. The lowest was 11.90. And the median was 16.80.

MKC's EV/EBIT is ranked lower than
66% of the 1288 Companies
in the Global Packaged Foods industry.

( Industry Median: 15.09 vs. MKC: 20.56 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). McCormick & Co Inc's enterprise value for the quarter that ended in Aug. 2016 was $14,355 Mil. McCormick & Co Inc's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Aug. 2016 was $637 Mil. McCormick & Co Inc's Earnings Yield (Joel Greenblatt) for the quarter that ended in Aug. 2016 was 4.43%.


Definition

McCormick & Co Inc's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Earnings Before Interest and Taxes (EBIT) (TTM)
=13089.384/636.6
=20.56

McCormick & Co Inc's current Enterprise Value is $13,089 Mil.
McCormick & Co Inc's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Aug. 2016 was 212.7 (Nov. 2015 ) + 130.2 (Feb. 2016 ) + 125.7 (May. 2016 ) + 168 (Aug. 2016 ) = $637 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's 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).

McCormick & Co Inc's Earnings Yield (Joel Greenblatt) for the quarter that ended in Aug. 2016 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Aug. 2016 )=EBIT (TTM)/Enterprise Value (Q: Aug. 2016 )
=636.6/14354.8972
=4.43 %

McCormick & Co Inc's Enterprise Value for the quarter that ended in Aug. 2016 was $14,355 Mil.
McCormick & Co Inc's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Aug. 2016 was 212.7 (Nov. 2015 ) + 130.2 (Feb. 2016 ) + 125.7 (May. 2016 ) + 168 (Aug. 2016 ) = $637 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's 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 local exchange's currency.

McCormick & Co Inc Annual Data

Nov06Nov07Nov08Nov09Nov10Nov11Nov12Nov13Nov14Nov15
ev2ebit 20.4315.3212.8612.0613.0814.1716.6518.5117.8322.27

McCormick & Co Inc Quarterly Data

May14Aug14Nov14Feb15May15Aug15Nov15Feb16May16Aug16
ev2ebit 18.6817.7717.8319.0220.5321.5322.2722.5022.6322.55
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