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Alcoa Corp (NYSE:AA)
EV/EBITDA
2.67 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Alcoa Corp's enterprise value is $1,682 Mil. Alcoa Corp's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Jun. 2016 was $630 Mil. Therefore, Alcoa Corp's EV/EBITDA ratio for today is 2.67.

EV/EBITDA (Enterprise value/EBITDA) is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the P/E Ratio to determine the fair market value of a company.

As of today, Alcoa Corp's stock price is $32.05. Alcoa Corp's earnings per share for the trailing twelve months (TTM) ended in Jun. 2016 was $-0.81. Therefore, Alcoa Corp's P/E Ratio for today is .

The "classic" EV/EBITDA ratio is much better in capturing debt and net cash than the P/E Ratio.


Definition

Alcoa Corp's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=1681.783/630
=2.67

Alcoa Corp's current Enterprise Value is $1,682 Mil.
Alcoa Corp's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Jun. 2016 was 286 (Jun. 2015 ) + 0 (Dec. 2015 ) + 51 (Mar. 2016 ) + 293 (Jun. 2016 ) = $630 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.


Explanation

EV/EBITDA (Enterprise value/EBITDA) is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the P/E Ratio to determine the fair market value of a company.

Alcoa Corp's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=32.05/-0.81
=

Alcoa Corp's share price for today is $32.05.
Alcoa Corp's Earnings Per Share for the trailing twelve months (TTM) ended in Jun. 2016 was 0 (Jun. 2015 ) + 0 (Dec. 2015 ) + 0 (Mar. 2016 ) + -0.81 (Jun. 2016 ) = $-0.81.

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

Study has found that the companies with the lowest EV/EBITDA outperforms companies measured as cheap by other ratios such as P/E Ratio.

Please read Which price ratio outperforms the enterprise multiple?


Related Terms

Enterprise Value, Earnings Before Depreciation and Amortization, P/E Ratio


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

Alcoa Corp Annual Data

Dec13Dec14Dec15
ev2ebitda 0.000.000.000.000.000.000.000.000.000.00

Alcoa Corp Quarterly Data

Dec13Dec14Mar15Jun15Dec15Mar16Jun16
ev2ebitda 0.000.000.000.000.000.000.000.000.000.00
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