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Meritage Homes Corp (NYSE:MTH)
EV/EBIT
10.61 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its Earnings Before Interest and Taxes (EBIT). As of today, Meritage Homes Corp's enterprise value is $2,374 Mil. Meritage Homes Corp's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2016 was $224 Mil. Therefore, Meritage Homes Corp's EV/EBIT ratio for today is 10.61.

MTH' s EV/EBIT Range Over the Past 10 Years
Min: -152.1   Max: 136.4
Current: 10.61

-152.1
136.4

During the past 13 years, the highest EV/EBIT Ratio of Meritage Homes Corp was 136.40. The lowest was -152.10. And the median was 10.80.

MTH's EV/EBIT is ranked higher than
56% of the 558 Companies
in the Global Residential Construction industry.

( Industry Median: 12.09 vs. MTH: 10.61 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Meritage Homes Corp's enterprise value for the quarter that ended in Jun. 2016 was $2,488 Mil. Meritage Homes Corp's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2016 was $224 Mil. Meritage Homes Corp's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jun. 2016 was 9.00%.


Definition

Meritage Homes Corp's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Earnings Before Interest and Taxes (EBIT) (TTM)
=2374.484/223.824
=10.61

Meritage Homes Corp's current Enterprise Value is $2,374 Mil.
Meritage Homes Corp's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2016 was 50.855 (Sep. 2015 ) + 80.088 (Dec. 2015 ) + 32.173 (Mar. 2016 ) + 60.708 (Jun. 2016 ) = $224 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).

Meritage Homes Corp's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jun. 2016 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Jun. 2016 )=EBIT (TTM)/Enterprise Value (Q: Jun. 2016 )
=223.824/2488.2148
=9.00 %

Meritage Homes Corp's Enterprise Value for the quarter that ended in Jun. 2016 was $2,488 Mil.
Meritage Homes Corp's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2016 was 50.855 (Sep. 2015 ) + 80.088 (Dec. 2015 ) + 32.173 (Mar. 2016 ) + 60.708 (Jun. 2016 ) = $224 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.

Meritage Homes Corp Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
ev2ebit 5.80-2.27-3.16-7.1525.30103.6433.9511.9110.4910.78

Meritage Homes Corp Quarterly Data

Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16
ev2ebit 10.3910.0510.3410.4914.0514.7612.2710.7811.5011.12
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