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National Oilwell Varco, Inc. (NYSE:NOV)
EV/EBIT
10.00 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, National Oilwell Varco, Inc.'s enterprise value is $34,300 Mil. National Oilwell Varco, Inc.'s operating income for the trailing twelve months (TTM) ended in Dec. 2013 was $3,423 Mil. Therefore, National Oilwell Varco, Inc.'s EV/EBIT ratio for today is 10.00.

NOV' s 10-Year EV/EBIT Range
Min: 1.8   Max: 28.5
Current: 10

1.8
28.5

During the past 13 years, the highest EV/EBIT Ratio of National Oilwell Varco, Inc. was 28.50. The lowest was 1.80. And the median was 9.80.

NOV's EV/EBITis ranked higher than
87% of the 395 Companies
in the Global Oil & Gas Equipment & Services industry.

( Industry Median: 15.20 vs. NOV: 10.00 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). National Oilwell Varco, Inc.'s enterprise value for the quarter that ended in Dec. 2013 was $33,861 Mil. National Oilwell Varco, Inc.'s Operating Income for the trailing twelve months (TTM) ended in Dec. 2013 was $3,423 Mil. National Oilwell Varco, Inc.'s Earnings Yield (Joel Greenblatt) for the quarter that ended in Dec. 2013 was 10.11%.


Definition

National Oilwell Varco, Inc.'s EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=34300.348/3423
=10.02

National Oilwell Varco, Inc.'s current Enterprise Value is $34,300 Mil.
National Oilwell Varco, Inc.'s Operating Income for the trailing twelve months (TTM) ended in Dec. 2013 was 751 (Mar. 2013 ) + 769 (Jun. 2013 ) + 946 (Sep. 2013 ) + 957 (Dec. 2013 ) = $3,423 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).

National Oilwell Varco, 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 )
=3423/33860.793
=10.11 %

National Oilwell Varco, Inc.'s Enterprise Value for the quarter that ended in Dec. 2013 was $33,861 Mil.
National Oilwell Varco, Inc.'s Operating Income for the trailing twelve months (TTM) ended in Dec. 2013 was 751 (Mar. 2013 ) + 769 (Jun. 2013 ) + 946 (Sep. 2013 ) + 957 (Dec. 2013 ) = $3,423 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.

National Oilwell Varco, Inc. Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ev2ebit 1.9424.309.5912.383.307.2710.628.828.199.89

National Oilwell Varco, Inc. Quarterly Data

Sep11Dec11Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13
ev2ebit 6.808.829.708.039.758.199.409.4310.249.89
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