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Polycom Inc (NAS:PLCM)
EV/EBIT
13.21 (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 $1,111 Mil. Polycom Inc's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2015 was $84 Mil. Therefore, Polycom Inc's EV/EBIT ratio for today is 13.21.

PLCM' s 10-Year EV/EBIT Range
Min: -182.6   Max: 211.2
Current: 13.21

-182.6
211.2

During the past 13 years, the highest EV/EBIT Ratio of Polycom Inc was 211.20. The lowest was -182.60. And the median was 21.45.

PLCM's EV/EBITis ranked higher than
56% of the 335 Companies
in the Global Communication Equipment industry.

( Industry Median: 17.04 vs. PLCM: 13.21 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Polycom Inc's enterprise value for the quarter that ended in Mar. 2015 was $1,423 Mil. Polycom Inc's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2015 was $84 Mil. Polycom Inc's Earnings Yield (Joel Greenblatt) for the quarter that ended in Mar. 2015 was 5.91%.


Definition

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

EV/EBIT=Enterprise Value (Today)/Earnings Before Interest and Taxes (EBIT) (TTM)
=1110.788/84.081
=13.21

Polycom Inc's current Enterprise Value is $1,111 Mil.
Polycom Inc's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2015 was 11.872 (Jun. 2014 ) + 20.298 (Sep. 2014 ) + 22.873 (Dec. 2014 ) + 29.038 (Mar. 2015 ) = $84 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. 2015 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Mar. 2015 )=EBIT (TTM)/Enterprise Value (Q: Mar. 2015 )
=84.081/1422.698
=5.91 %

Polycom Inc's Enterprise Value for the quarter that ended in Mar. 2015 was $1,423 Mil.
Polycom Inc's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2015 was 11.872 (Jun. 2014 ) + 20.298 (Sep. 2014 ) + 22.873 (Dec. 2014 ) + 29.038 (Mar. 2015 ) = $84 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

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebit 13.2825.7427.648.4823.7633.2217.50198.35-65.2529.41

Polycom Inc Quarterly Data

Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15
ev2ebit 198.35-113.87-138.69-89.38-65.25-66.41-75.8454.8729.4116.92
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