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Northern Trust Corp (NAS:NTRS)
EV/EBIT
6.70 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its Earnings Before Interest and Taxes (EBIT). As of today, Northern Trust Corp's enterprise value is $8,509 Mil. Northern Trust Corp's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2015 was $1,271 Mil. Therefore, Northern Trust Corp's EV/EBIT ratio for today is 6.70.

NTRS' s 10-Year EV/EBIT Range
Min: -22.4   Max: 22.1
Current: 6.71

-22.4
22.1

During the past 13 years, the highest EV/EBIT Ratio of Northern Trust Corp was 22.10. The lowest was -22.40. And the median was -1.00.

NTRS's EV/EBITis ranked higher than
76% of the 967 Companies
in the Global Asset Management industry.

( Industry Median: 14.13 vs. NTRS: 6.71 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Northern Trust Corp's enterprise value for the quarter that ended in Mar. 2015 was $7,089 Mil. Northern Trust Corp's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2015 was $1,271 Mil. Northern Trust Corp's Earnings Yield (Joel Greenblatt) for the quarter that ended in Mar. 2015 was 17.92%.


Definition

Northern Trust Corp's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Earnings Before Interest and Taxes (EBIT) (TTM)
=8509.230/1270.7
=6.70

Northern Trust Corp's current Enterprise Value is $8,509 Mil.
Northern Trust Corp's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2015 was 270.7 (Jun. 2014 ) + 304.2 (Sep. 2014 ) + 345.8 (Dec. 2014 ) + 350 (Mar. 2015 ) = $1,271 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).

Northern Trust Corp's Earnings Yield (Joel Greenblatt) for the quarter that ended in Mar. 2015 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Mar. 2015 )=EBIT (TTM)/Enterprise Value (Q: Mar. 2015 )
=1270.7/7089.4785
=17.92 %

Northern Trust Corp's Enterprise Value for the quarter that ended in Mar. 2015 was $7,089 Mil.
Northern Trust Corp's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2015 was 270.7 (Jun. 2014 ) + 304.2 (Sep. 2014 ) + 345.8 (Dec. 2014 ) + 350 (Mar. 2015 ) = $1,271 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.

Northern Trust Corp Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebit 16.2313.9217.55-8.06-8.73-10.53-21.99-9.54-2.175.76

Northern Trust Corp Quarterly Data

Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15
ev2ebit -9.54-9.95-4.63-9.93-2.17-9.50-12.516.155.765.58
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