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Prudential Financial Inc (NYSE:PRU)
EV/EBIT
4.59 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its Earnings Before Interest and Taxes (EBIT). As of today, Prudential Financial Inc's enterprise value is $27,376 Mil. Prudential Financial Inc's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2016 was $5,965 Mil. Therefore, Prudential Financial Inc's EV/EBIT ratio for today is 4.59.

PRU' s EV/EBIT Range Over the Past 10 Years
Min: -450.9   Max: 45.9
Current: 4.58

-450.9
45.9

During the past 13 years, the highest EV/EBIT Ratio of Prudential Financial Inc was 45.90. The lowest was -450.90. And the median was 10.65.

PRU's EV/EBIT is ranked higher than
86% of the 69 Companies
in the Global Insurance - Life industry.

( Industry Median: 9.33 vs. PRU: 4.58 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Prudential Financial Inc's enterprise value for the quarter that ended in Jun. 2016 was $23,908 Mil. Prudential Financial Inc's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2016 was $5,965 Mil. Prudential Financial Inc's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jun. 2016 was 24.95%.


Definition

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

EV/EBIT=Enterprise Value (Today)/Earnings Before Interest and Taxes (EBIT) (TTM)
=27375.720/5965
=4.59

Prudential Financial Inc's current Enterprise Value is $27,376 Mil.
Prudential Financial Inc's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2016 was 2049 (Sep. 2015 ) + 843 (Dec. 2015 ) + 1732 (Mar. 2016 ) + 1341 (Jun. 2016 ) = $5,965 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).

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

Earnings Yield (Joel Greenblatt) (Q: Jun. 2016 )=EBIT (TTM)/Enterprise Value (Q: Jun. 2016 )
=5965/23907.7116
=24.95 %

Prudential Financial Inc's Enterprise Value for the quarter that ended in Jun. 2016 was $23,908 Mil.
Prudential Financial Inc's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2016 was 2049 (Sep. 2015 ) + 843 (Dec. 2015 ) + 1732 (Mar. 2016 ) + 1341 (Jun. 2016 ) = $5,965 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.

Prudential Financial Inc Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
ev2ebit 11.5811.79-20.5117.918.819.5841.88-29.9227.445.18

Prudential Financial Inc Quarterly Data

Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16
ev2ebit 32.6314.3519.2727.4414.8614.297.095.184.354.01
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