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Ares Commercial Real Estate Corp (NYSE:ACRE)
EV/EBITDA
1.06 (As of Today)

EV/EBITDA ratio is calculated as enterprise value divided by its EBITDA. As of today, Ares Commercial Real Estate Corp's enterprise value is $53.0 Mil. Ares Commercial Real Estate Corp's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Sep. 2015 was $50.1 Mil. Therefore, Ares Commercial Real Estate Corp's EV/EBITDA ratio for today is 1.06.

ACRE' s EV/EBITDA Range Over the Past 10 Years
Min: -87.8   Max: 9.8
Current: 0.65

-87.8
9.8

During the past 4 years, the highest EV/EBITDA Ratio of Ares Commercial Real Estate Corp was 9.80. The lowest was -87.80. And the median was 2.25.

ACRE's EV/EBITDA is ranked higher than
99% of the 824 Companies
in the Global REIT - Diversified industry.

( Industry Median: 15.53 vs. ACRE: 0.65 )

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, Ares Commercial Real Estate Corp's stock price is $9.35. Ares Commercial Real Estate Corp's earnings per share for the trailing twelve months (TTM) ended in Sep. 2015 was $1.20. Therefore, Ares Commercial Real Estate Corp's P/E Ratio for today is 7.79.

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


Definition

Ares Commercial Real Estate Corp's EV/EBITDA for today is calculated as:

EV/EBITDA=Enterprise Value (Today)/Earnings Before Depreciation and Amortization (TTM)
=53.000/50.134
=1.06

Ares Commercial Real Estate Corp's current Enterprise Value is $53.0 Mil.
Ares Commercial Real Estate Corp's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Sep. 2015 was 11.504 (Dec. 2014 ) + 10.296 (Mar. 2015 ) + 13.694 (Jun. 2015 ) + 14.64 (Sep. 2015 ) = $50.1 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are in their own 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.

Ares Commercial Real Estate Corp's P/E Ratio for today is calculated as:

P/E Ratio=Share Price (Today)/Earnings Per Share (TTM)
=9.35/1.201
=7.79

Ares Commercial Real Estate Corp's share price for today is $9.35.
Ares Commercial Real Estate Corp's Earnings Per Share for the trailing twelve months (TTM) ended in Sep. 2015 was 0.311 (Dec. 2014 ) + 0.25 (Mar. 2015 ) + 0.31 (Jun. 2015 ) + 0.33 (Sep. 2015 ) = $1.20.

* All numbers are in millions except for per share data and ratio. All numbers are in their own 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 own currency.

Ares Commercial Real Estate Corp Annual Data

Dec11Dec12Dec13Dec14
ev2ebitda 0.000.000.000.000.000.000.00-12.206.058.95

Ares Commercial Real Estate Corp Quarterly Data

Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15
ev2ebitda -20.221.456.051.955.161.748.954.003.362.09
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