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Procter & Gamble Co (NYSE:PG)
EV/EBIT
17.20 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, Procter & Gamble Co's enterprise value is $249,915 Mil. Procter & Gamble Co's operating income for the trailing twelve months (TTM) ended in Dec. 2013 was $14,741 Mil. Therefore, Procter & Gamble Co's EV/EBIT ratio for today is 17.20.

PG' s 10-Year EV/EBIT Range
Min: 11.3   Max: 21.1
Current: 17.2

11.3
21.1

During the past 13 years, the highest EV/EBIT Ratio of Procter & Gamble Co was 21.10. The lowest was 11.30. And the median was 16.30.

PG's EV/EBITis ranked higher than
56% of the 1237 Companies
in the Global Household & Personal Products industry.

( Industry Median: 15.33 vs. PG: 17.20 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Procter & Gamble Co's enterprise value for the quarter that ended in Dec. 2013 was $249,726 Mil. Procter & Gamble Co's Operating Income for the trailing twelve months (TTM) ended in Dec. 2013 was $14,741 Mil. Procter & Gamble Co's Earnings Yield (Joel Greenblatt) for the quarter that ended in Dec. 2013 was 5.90%.


Definition

Procter & Gamble Co's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=249914.731/14741
=16.95

Procter & Gamble Co's current Enterprise Value is $249,915 Mil.
Procter & Gamble Co's Operating Income for the trailing twelve months (TTM) ended in Dec. 2013 was 3405 (Mar. 2013 ) + 2633 (Jun. 2013 ) + 4151 (Sep. 2013 ) + 4552 (Dec. 2013 ) = $14,741 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).

Procter & Gamble Co'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 )
=14741/249725.8881
=5.90 %

Procter & Gamble Co's Enterprise Value for the quarter that ended in Dec. 2013 was $249,726 Mil.
Procter & Gamble Co's Operating Income for the trailing twelve months (TTM) ended in Dec. 2013 was 3405 (Mar. 2013 ) + 2633 (Jun. 2013 ) + 4151 (Sep. 2013 ) + 4552 (Dec. 2013 ) = $14,741 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.

Procter & Gamble Co Annual Data

Jun04Jun05Jun06Jun07Jun08Jun09Jun10Jun11Jun12Jun13
ev2ebit 16.5113.9715.7214.3813.0811.8912.4313.2114.7016.47

Procter & Gamble Co Quarterly Data

Sep11Dec11Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13
ev2ebit 13.3615.5316.0414.7016.7814.4616.0516.4715.9716.94
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