Switch to:
Toro Co (NYSE:TTC)
EV/EBIT
13.55 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its Earnings Before Interest and Taxes (EBIT). As of today, Toro Co's enterprise value is $4,198 Mil. Toro Co's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Oct. 2015 was $310 Mil. Therefore, Toro Co's EV/EBIT ratio for today is 13.55.

TTC' s EV/EBIT Range Over the Past 10 Years
Min: 5.5   Max: 16.7
Current: 14

5.5
16.7

During the past 13 years, the highest EV/EBIT Ratio of Toro Co was 16.70. The lowest was 5.50. And the median was 11.90.

TTC's EV/EBIT is ranked lower than
54% of the 1995 Companies
in the Global Tools & Accessories industry.

( Industry Median: 13.15 vs. TTC: 14.00 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Toro Co's enterprise value for the quarter that ended in Oct. 2015 was $4,365 Mil. Toro Co's earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Oct. 2015 was $310 Mil. Toro Co's Earnings Yield (Joel Greenblatt) for the quarter that ended in Oct. 2015 was 7.10%.


Definition

Toro Co's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Earnings Before Interest and Taxes (EBIT) (TTM)
=4197.718/309.788
=13.55

Toro Co's current Enterprise Value is $4,198 Mil.
Toro Co's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Oct. 2015 was 46.689 (Jan. 2015 ) + 140.905 (Apr. 2015 ) + 82.203 (Jul. 2015 ) + 39.991 (Oct. 2015 ) = $310 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).

Toro Co's Earnings Yield (Joel Greenblatt) for the quarter that ended in Oct. 2015 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Oct. 2015 )=EBIT (TTM)/Enterprise Value (Q: Oct. 2015 )
=309.788/4365.4045
=7.10 %

Toro Co's Enterprise Value for the quarter that ended in Oct. 2015 was $4,365 Mil.
Toro Co's Earnings Before Interest and Taxes (EBIT) for the trailing twelve months (TTM) ended in Oct. 2015 was 46.689 (Jan. 2015 ) + 140.905 (Apr. 2015 ) + 82.203 (Jul. 2015 ) + 39.991 (Oct. 2015 ) = $310 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.

Toro Co Annual Data

Oct06Oct07Oct08Oct09Oct10Oct11Oct12Oct13Oct14Oct15
ev2ebit 8.859.806.6211.3011.569.1012.0113.9512.8614.09

Toro Co Quarterly Data

Jul13Oct13Jan14Apr14Jul14Oct14Jan15Apr15Jul15Oct15
ev2ebit 12.1913.9515.5414.5712.7412.8614.3514.0913.7814.09
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)

GuruFocus Premium Plus Membership

FEEDBACK