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Nicholas Financial, Inc. (NAS:NICK)
EV/EBIT
10.20 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, Nicholas Financial, Inc.'s enterprise value is $315.70 Mil. Nicholas Financial, Inc.'s operating income for the trailing twelve months (TTM) ended in Dec. 2013 was $30.96 Mil. Therefore, Nicholas Financial, Inc.'s EV/EBIT ratio for today is 10.20.

NICK' s 10-Year EV/EBIT Range
Min: 7   Max: 21.4
Current: 10.2

7
21.4

During the past 13 years, the highest EV/EBIT Ratio of Nicholas Financial, Inc. was 21.40. The lowest was 7.00. And the median was 10.50.

NICK's EV/EBITis ranked higher than
84% of the 119 Companies
in the Global Credit Services industry.

( Industry Median: 16.90 vs. NICK: 10.20 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Nicholas Financial, Inc.'s enterprise value for the quarter that ended in Dec. 2013 was $314.94 Mil. Nicholas Financial, Inc.'s Operating Income for the trailing twelve months (TTM) ended in Dec. 2013 was $30.96 Mil. Nicholas Financial, Inc.'s Earnings Yield (Joel Greenblatt) for the quarter that ended in Dec. 2013 was 9.83%.


Definition

Nicholas Financial, Inc.'s EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=315.704/30.961
=10.20

Nicholas Financial, Inc.'s current Enterprise Value is $315.70 Mil.
Nicholas Financial, Inc.'s Operating Income for the trailing twelve months (TTM) ended in Dec. 2013 was 7.833 (Mar. 2013 ) + 9.265 (Jun. 2013 ) + 7.203 (Sep. 2013 ) + 6.66 (Dec. 2013 ) = $30.96 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).

Nicholas Financial, Inc.'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 )
=30.961/314.939
=9.83 %

Nicholas Financial, Inc.'s Enterprise Value for the quarter that ended in Dec. 2013 was $314.94 Mil.
Nicholas Financial, Inc.'s Operating Income for the trailing twelve months (TTM) ended in Dec. 2013 was 7.833 (Mar. 2013 ) + 9.265 (Jun. 2013 ) + 7.203 (Sep. 2013 ) + 6.66 (Dec. 2013 ) = $30.96 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.

Nicholas Financial, Inc. Annual Data

Mar04Mar05Mar06Mar07Mar08Mar09Mar10Mar11Mar12Mar13
ev2ebit 20.7110.959.2810.9016.6816.8811.409.5114.099.27

Nicholas Financial, Inc. Quarterly Data

Sep11Dec11Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13
ev2ebit 14.9015.6214.0913.507.358.019.279.2910.2310.17
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