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Rite Aid Corp (NYSE:RAD)
EV/EBIT
17.91 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, Rite Aid Corp's enterprise value is $13,688 Mil. Rite Aid Corp's operating income for the trailing twelve months (TTM) ended in Nov. 2014 was $764 Mil. Therefore, Rite Aid Corp's EV/EBIT ratio for today is 17.91.

RAD' s 10-Year EV/EBIT Range
Min: -477   Max: 618
Current: 17.49

-477
618

During the past 13 years, the highest EV/EBIT Ratio of Rite Aid Corp was 618.00. The lowest was -477.00. And the median was 18.70.

RAD's EV/EBITis ranked higher than
76% of the 684 Companies
in the Global Pharmaceutical Retailers industry.

( Industry Median: 18.54 vs. RAD: 17.49 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Rite Aid Corp's enterprise value for the quarter that ended in Nov. 2014 was $10,967 Mil. Rite Aid Corp's Operating Income for the trailing twelve months (TTM) ended in Nov. 2014 was $764 Mil. Rite Aid Corp's Earnings Yield (Joel Greenblatt) for the quarter that ended in Nov. 2014 was 6.97%.


Definition

Rite Aid Corp's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=13687.510/764.186
=17.91

Rite Aid Corp's current Enterprise Value is $13,688 Mil.
Rite Aid Corp's Operating Income for the trailing twelve months (TTM) ended in Nov. 2014 was 127.741 (Feb. 2014 ) + 158.625 (May. 2014 ) + 246.944 (Aug. 2014 ) + 230.876 (Nov. 2014 ) = $764 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).

Rite Aid Corp's Earnings Yield (Joel Greenblatt) for the quarter that ended in Nov. 2014 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Nov. 2014 )=Operating Income (TTM)/Enterprise Value (Q: Nov. 2014 )
=764.186/10967.2446
=6.97 %

Rite Aid Corp's Enterprise Value for the quarter that ended in Nov. 2014 was $10,967 Mil.
Rite Aid Corp's Operating Income for the trailing twelve months (TTM) ended in Nov. 2014 was 127.741 (Feb. 2014 ) + 158.625 (May. 2014 ) + 246.944 (Aug. 2014 ) + 230.876 (Nov. 2014 ) = $764 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.

Rite Aid Corp Annual Data

Feb06Feb07Feb08Feb09Feb10Feb11Feb12Feb13Feb14Feb15
ev2ebit 15.9523.1439.23-3.52607.62310.9447.2114.6016.850.00

Rite Aid Corp Quarterly Data

Nov12Feb13May13Aug13Nov13Feb14May14Aug14Nov14Feb15
ev2ebit 43.6614.6010.529.9412.5516.8520.7116.4714.350.00
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