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RR Donnelley & Sons Co (NAS:RRD)
EV/EBIT
11.82 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, RR Donnelley & Sons Co's enterprise value is $6,855 Mil. RR Donnelley & Sons Co's operating income for the trailing twelve months (TTM) ended in Sep. 2014 was $580 Mil. Therefore, RR Donnelley & Sons Co's EV/EBIT ratio for today is 11.82.

RRD' s 10-Year EV/EBIT Range
Min: -167.9   Max: 91.3
Current: 11.82

-167.9
91.3

During the past 13 years, the highest EV/EBIT Ratio of RR Donnelley & Sons Co was 91.30. The lowest was -167.90. And the median was 14.25.

RRD's EV/EBITis ranked higher than
82% of the 1121 Companies
in the Global Business Services industry.

( Industry Median: 19.34 vs. RRD: 11.82 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). RR Donnelley & Sons Co's enterprise value for the quarter that ended in Sep. 2014 was $6,803 Mil. RR Donnelley & Sons Co's Operating Income for the trailing twelve months (TTM) ended in Sep. 2014 was $580 Mil. RR Donnelley & Sons Co's Earnings Yield (Joel Greenblatt) for the quarter that ended in Sep. 2014 was 8.53%.


Definition

RR Donnelley & Sons Co's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=6855.300/580
=11.82

RR Donnelley & Sons Co's current Enterprise Value is $6,855 Mil.
RR Donnelley & Sons Co's Operating Income for the trailing twelve months (TTM) ended in Sep. 2014 was 132.1 (Dec. 2013 ) + 96 (Mar. 2014 ) + 178.2 (Jun. 2014 ) + 173.7 (Sep. 2014 ) = $580 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).

RR Donnelley & Sons Co's Earnings Yield (Joel Greenblatt) for the quarter that ended in Sep. 2014 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Sep. 2014 )=Operating Income (TTM)/Enterprise Value (Q: Sep. 2014 )
=580/6803.308
=8.53 %

RR Donnelley & Sons Co's Enterprise Value for the quarter that ended in Sep. 2014 was $6,803 Mil.
RR Donnelley & Sons Co's Operating Income for the trailing twelve months (TTM) ended in Sep. 2014 was 132.1 (Dec. 2013 ) + 96 (Mar. 2014 ) + 178.2 (Jun. 2014 ) + 173.7 (Sep. 2014 ) = $580 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.

RR Donnelley & Sons Co Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ev2ebit 19.3721.4011.0838.23-163.6221.5811.9689.05-12.5611.28

RR Donnelley & Sons Co Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
ev2ebit 44.2834.37-12.56-15.45-16.72-15.0711.2813.4212.8611.73
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