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Motorola Solutions Inc (NYSE:MSI)
EV/EBIT
14.78 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, Motorola Solutions Inc's enterprise value is $16,373 Mil. Motorola Solutions Inc's operating income for the trailing twelve months (TTM) ended in Sep. 2014 was $1,108 Mil. Therefore, Motorola Solutions Inc's EV/EBIT ratio for today is 14.78.

MSI' s 10-Year EV/EBIT Range
Min: -49.4   Max: 122.7
Current: 14.78

-49.4
122.7

During the past 13 years, the highest EV/EBIT Ratio of Motorola Solutions Inc was 122.70. The lowest was -49.40. And the median was 9.60.

MSI's EV/EBITis ranked higher than
83% of the 756 Companies
in the Global Communication Equipment industry.

( Industry Median: 50.69 vs. MSI: 14.78 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Motorola Solutions Inc's enterprise value for the quarter that ended in Sep. 2014 was $15,800 Mil. Motorola Solutions Inc's Operating Income for the trailing twelve months (TTM) ended in Sep. 2014 was $1,108 Mil. Motorola Solutions Inc's Earnings Yield (Joel Greenblatt) for the quarter that ended in Sep. 2014 was 7.01%.


Definition

Motorola Solutions Inc's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=16372.800/1108
=14.78

Motorola Solutions Inc's current Enterprise Value is $16,373 Mil.
Motorola Solutions Inc's Operating Income for the trailing twelve months (TTM) ended in Sep. 2014 was 593 (Dec. 2013 ) + 170 (Mar. 2014 ) + 138 (Jun. 2014 ) + 207 (Sep. 2014 ) = $1,108 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).

Motorola Solutions Inc's Earnings Yield (Joel Greenblatt) for the quarter that ended in Sep. 2014 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Sep. 2014 )=Operating Income (TTM)/Enterprise Value (Q: Sep. 2014 )
=1108/15799.6896
=7.01 %

Motorola Solutions Inc's Enterprise Value for the quarter that ended in Sep. 2014 was $15,800 Mil.
Motorola Solutions Inc's Operating Income for the trailing twelve months (TTM) ended in Sep. 2014 was 593 (Dec. 2013 ) + 170 (Mar. 2014 ) + 138 (Jun. 2014 ) + 207 (Sep. 2014 ) = $1,108 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.

Motorola Solutions Inc Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ev2ebit 5.874.774.31-40.50-2.83-18.088.5312.9310.8713.07

Motorola Solutions Inc Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
ev2ebit 11.4911.2710.8713.0212.5313.7513.0712.9514.2614.26
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