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Polycom Inc (NAS:PLCM)
EV/EBIT
16.48 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its Earnings Before Interest and Taxes (EBIT). As of today, Polycom Inc's enterprise value is $1,172 Mil. Polycom Inc's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2016 was $71 Mil. Therefore, Polycom Inc's EV/EBIT ratio for today is 16.48.

PLCM' s EV/EBIT Range Over the Past 10 Years
Min: -182.6   Max: 130.9
Current: 15.99

-182.6
130.9

During the past 13 years, the highest EV/EBIT Ratio of Polycom Inc was 130.90. The lowest was -182.60. And the median was 20.20.

PLCM's EV/EBIT is ranked higher than
59% of the 344 Companies
in the Global Communication Equipment industry.

( Industry Median: 16.77 vs. PLCM: 15.99 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Polycom Inc's enterprise value for the quarter that ended in Mar. 2016 was $1,054 Mil. Polycom Inc's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2016 was $71 Mil. Polycom Inc's Earnings Yield (Joel Greenblatt) for the quarter that ended in Mar. 2016 was 6.75%.


Definition

Polycom Inc's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Earnings Before Interest and Taxes (EBIT) (TTM)
=1172.212/71.121
=16.48

Polycom Inc's current Enterprise Value is $1,172 Mil.
Polycom Inc's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2016 was 26.263 (Jun. 2015 ) + 20.868 (Sep. 2015 ) + 15.881 (Dec. 2015 ) + 8.109 (Mar. 2016 ) = $71 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).

Polycom Inc's Earnings Yield (Joel Greenblatt) for the quarter that ended in Mar. 2016 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Mar. 2016 )=EBIT (TTM)/Enterprise Value (Q: Mar. 2016 )
=71.121/1054.1515
=6.75 %

Polycom Inc's Enterprise Value for the quarter that ended in Mar. 2016 was $1,054 Mil.
Polycom Inc's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2016 was 26.263 (Jun. 2015 ) + 20.868 (Sep. 2015 ) + 15.881 (Dec. 2015 ) + 8.109 (Mar. 2016 ) = $71 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.

Polycom Inc Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
ev2ebit 25.7527.648.4923.7731.9715.71111.59-66.1529.4113.97

Polycom Inc Quarterly Data

Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16
ev2ebit -66.15-66.15-75.8454.9029.4116.9211.7210.2513.9714.82
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