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MeadWestvaco Corporation (NYSE:MWV)
EV/EBIT
23.30 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, MeadWestvaco Corporation's enterprise value is $7,514 Mil. MeadWestvaco Corporation's operating income for the trailing twelve months (TTM) ended in Dec. 2013 was $322 Mil. Therefore, MeadWestvaco Corporation's EV/EBIT ratio for today is 23.30.

MWV' s 10-Year EV/EBIT Range
Min: 11.4   Max: 52.8
Current: 23.3

11.4
52.8

During the past 13 years, the highest EV/EBIT Ratio of MeadWestvaco Corporation was 52.80. The lowest was 11.40. And the median was 22.90.

MWV's EV/EBITis ranked lower than
70% of the 237 Companies
in the Global Packaging & Containers industry.

( Industry Median: 13.68 vs. MWV: 23.30 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). MeadWestvaco Corporation's enterprise value for the quarter that ended in Dec. 2013 was $7,542 Mil. MeadWestvaco Corporation's Operating Income for the trailing twelve months (TTM) ended in Dec. 2013 was $322 Mil. MeadWestvaco Corporation's Earnings Yield (Joel Greenblatt) for the quarter that ended in Dec. 2013 was 4.27%.


Definition

MeadWestvaco Corporation's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=7513.602/322
=23.33

MeadWestvaco Corporation's current Enterprise Value is $7,514 Mil.
MeadWestvaco Corporation's Operating Income for the trailing twelve months (TTM) ended in Dec. 2013 was 47 (Mar. 2013 ) + 103 (Jun. 2013 ) + 162 (Sep. 2013 ) + 10 (Dec. 2013 ) = $322 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).

MeadWestvaco Corporation's Earnings Yield (Joel Greenblatt) for the quarter that ended in Dec. 2013 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Dec. 2013 )=Operating Income (TTM)/Enterprise Value (Q: Dec. 2013 )
=322/7542.1084
=4.27 %

MeadWestvaco Corporation's Enterprise Value for the quarter that ended in Dec. 2013 was $7,542 Mil.
MeadWestvaco Corporation's Operating Income for the trailing twelve months (TTM) ended in Dec. 2013 was 47 (Mar. 2013 ) + 103 (Jun. 2013 ) + 162 (Sep. 2013 ) + 10 (Dec. 2013 ) = $322 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.

MeadWestvaco Corporation Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ev2ebit 27.9320.3832.2025.0813.9829.5314.4113.2220.3323.42

MeadWestvaco Corporation Quarterly Data

Sep11Dec11Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13
ev2ebit 11.5913.2217.8414.3515.9620.3328.9132.3532.3723.42
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