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

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, Meritage Homes Corp's enterprise value is $2,719 Mil. Meritage Homes Corp's operating income for the trailing twelve months (TTM) ended in Dec. 2014 was $207 Mil. Therefore, Meritage Homes Corp's EV/EBIT ratio for today is 13.11.

MTH' s 10-Year EV/EBIT Range
Min: -94   Max: 602.5
Current: 13.13

-94
602.5

During the past 13 years, the highest EV/EBIT Ratio of Meritage Homes Corp was 602.50. The lowest was -94.00. And the median was 8.80.

MTH's EV/EBITis ranked higher than
81% of the 1176 Companies
in the Global Residential Construction industry.

( Industry Median: 105.97 vs. MTH: 13.13 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Meritage Homes Corp's enterprise value for the quarter that ended in Dec. 2014 was $2,240 Mil. Meritage Homes Corp's Operating Income for the trailing twelve months (TTM) ended in Dec. 2014 was $207 Mil. Meritage Homes Corp's Earnings Yield (Joel Greenblatt) for the quarter that ended in Dec. 2014 was 9.26%.


Definition

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

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=2719.322/207.455
=13.11

Meritage Homes Corp's current Enterprise Value is $2,719 Mil.
Meritage Homes Corp's Operating Income for the trailing twelve months (TTM) ended in Dec. 2014 was 41.992 (Mar. 2014 ) + 52.944 (Jun. 2014 ) + 45.626 (Sep. 2014 ) + 66.893 (Dec. 2014 ) = $207 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 Dec. 2014 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Dec. 2014 )=Operating Income (TTM)/Enterprise Value (Q: Dec. 2014 )
=207.455/2240.1637
=9.26 %

Meritage Homes Corp's Enterprise Value for the quarter that ended in Dec. 2014 was $2,240 Mil.
Meritage Homes Corp's Operating Income for the trailing twelve months (TTM) ended in Dec. 2014 was 41.992 (Mar. 2014 ) + 52.944 (Jun. 2014 ) + 45.626 (Sep. 2014 ) + 66.893 (Dec. 2014 ) = $207 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.

Meritage Homes Corp Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebit 4.965.80-3.42-3.89-6.3029.44516.3127.5511.8310.80

Meritage Homes Corp Quarterly Data

Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14
ev2ebit 53.0627.5525.5617.7813.5411.8310.3710.3010.6810.80
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