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Westlake Chemical Corp (NYSE:WLK)
EV/EBIT
9.28 (As of Today)

EV/EBIT ratio is calculated as enterprise value divided by its EBIT. As of today, Westlake Chemical Corp's enterprise value is $9,638 Mil. Westlake Chemical Corp's operating income for the trailing twelve months (TTM) ended in Jun. 2014 was $1,039 Mil. Therefore, Westlake Chemical Corp's EV/EBIT ratio for today is 9.28.

WLK' s 10-Year EV/EBIT Range
Min: 4.3   Max: 18.6
Current: 9.28

4.3
18.6

During the past 13 years, the highest EV/EBIT Ratio of Westlake Chemical Corp was 18.60. The lowest was 4.30. And the median was 8.70.

WLK's EV/EBITis ranked higher than
89% of the 1070 Companies
in the Global Specialty Chemicals industry.

( Industry Median: 17.79 vs. WLK: 9.28 )

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt). Westlake Chemical Corp's enterprise value for the quarter that ended in Jun. 2014 was $11,064 Mil. Westlake Chemical Corp's Operating Income for the trailing twelve months (TTM) ended in Jun. 2014 was $1,039 Mil. Westlake Chemical Corp's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jun. 2014 was 9.39%.


Definition

Westlake Chemical Corp's EV/EBIT for today is calculated as:

EV/EBIT=Enterprise Value (Today)/Operating Income (TTM)
=9637.743/1039.025
=9.28

Westlake Chemical Corp's current Enterprise Value is $9,638 Mil.
Westlake Chemical Corp's Operating Income for the trailing twelve months (TTM) ended in Jun. 2014 was 266.602 (Sep. 2013 ) + 257.58 (Dec. 2013 ) + 248.055 (Mar. 2014 ) + 266.788 (Jun. 2014 ) = $1,039 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).

Westlake Chemical Corp's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jun. 2014 is calculated as:

Earnings Yield (Joel Greenblatt) (Q: Jun. 2014 )=Operating Income (TTM)/Enterprise Value (Q: Jun. 2014 )
=1039.025/11063.9678
=9.39 %

Westlake Chemical Corp's Enterprise Value for the quarter that ended in Jun. 2014 was $11,064 Mil.
Westlake Chemical Corp's Operating Income for the trailing twelve months (TTM) ended in Jun. 2014 was 266.602 (Sep. 2013 ) + 257.58 (Dec. 2013 ) + 248.055 (Mar. 2014 ) + 266.788 (Jun. 2014 ) = $1,039 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.

Westlake Chemical Corp Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
ev2ebit 11.205.197.209.900.0017.857.975.858.388.60

Westlake Chemical Corp Quarterly Data

Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14
ev2ebit 9.266.478.718.389.279.008.328.608.7510.65
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