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Targa Resources Corp (NYSE:TRGP)
EV/EBIT
24.71 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its Earnings Before Interest and Taxes (EBIT). As of today, Targa Resources Corp's enterprise value is $14,363 Mil. Targa Resources Corp's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2015 was $581 Mil. Therefore, Targa Resources Corp's EV/EBIT ratio for today is 24.71.

TRGP' s 10-Year EV/EBIT Range
Min: 11.7   Max: 27.4
Current: 24.69

11.7
27.4

During the past 7 years, the highest EV/EBIT Ratio of Targa Resources Corp was 27.40. The lowest was 11.70. And the median was 17.20.

TRGP's EV/EBITis ranked lower than
65% of the 91 Companies
in the Global Oil & Gas Midstream industry.

( Industry Median: 20.87 vs. TRGP: 24.69 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Targa Resources Corp's enterprise value for the quarter that ended in Jun. 2015 was $15,790 Mil. Targa Resources Corp's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2015 was $581 Mil. Targa Resources Corp's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jun. 2015 was 3.68%.


Definition

Targa Resources Corp's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Earnings Before Interest and Taxes (EBIT) (TTM)
=14363.287/581.3
=24.71

Targa Resources Corp's current Enterprise Value is $14,363 Mil.
Targa Resources Corp's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2015 was 168.7 (Sep. 2014 ) + 162.9 (Dec. 2014 ) + 137.3 (Mar. 2015 ) + 112.4 (Jun. 2015 ) = $581 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).

Targa Resources Corp's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jun. 2015 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Jun. 2015 )=EBIT (TTM)/Enterprise Value (Q: Jun. 2015 )
=581.3/15789.6966
=3.68 %

Targa Resources Corp's Enterprise Value for the quarter that ended in Jun. 2015 was $15,790 Mil.
Targa Resources Corp's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2015 was 168.7 (Sep. 2014 ) + 162.9 (Dec. 2014 ) + 137.3 (Mar. 2015 ) + 112.4 (Jun. 2015 ) = $581 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.

Targa Resources Corp Annual Data

Dec08Dec09Dec10Dec11Dec12Dec13Dec14
ev2ebit 0.000.000.000.000.0016.8112.2118.5923.3015.35

Targa Resources Corp Quarterly Data

Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15
ev2ebit 22.9925.4324.8423.3019.9520.1917.6515.3526.3427.16
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