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Ares Commercial Real Estate Corp (NYSE:ACRE)
EV/EBITDA
2.05 (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 $100.8 Mil. Ares Commercial Real Estate Corp's earnings before depreciation and amortization for the trailing twelve months (TTM) ended in Mar. 2016 was $49.3 Mil. Therefore, Ares Commercial Real Estate Corp's EV/EBITDA ratio for today is 2.05.

ACRE' s EV/EBITDA Range Over the Past 10 Years
Min: -87.8   Max: 9.6
Current: 2.05

-87.8
9.6

During the past 5 years, the highest EV/EBITDA Ratio of Ares Commercial Real Estate Corp was 9.60. The lowest was -87.80. And the median was 1.70.

ACRE's EV/EBITDA is ranked higher than
98% of the 623 Companies
in the Global REIT - Diversified industry.

( Industry Median: 15.68 vs. ACRE: 2.05 )

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 $12.27. Ares Commercial Real Estate Corp's earnings per share for the trailing twelve months (TTM) ended in Mar. 2016 was $1.13. Therefore, Ares Commercial Real Estate Corp's P/E Ratio for today is 10.86.

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)
=100.835/49.262
=2.05

Ares Commercial Real Estate Corp's current Enterprise Value is $100.8 Mil.
Ares Commercial Real Estate Corp's Earnings Before Depreciation and Amortization for the trailing twelve months (TTM) ended in Mar. 2016 was 13.694 (Jun. 2015 ) + 14.64 (Sep. 2015 ) + 13.439 (Dec. 2015 ) + 7.489 (Mar. 2016 ) = $49.3 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)
=12.27/1.13
=10.86

Ares Commercial Real Estate Corp's share price for today is $12.27.
Ares Commercial Real Estate Corp's Earnings Per Share for the trailing twelve months (TTM) ended in Mar. 2016 was 0.31 (Jun. 2015 ) + 0.33 (Sep. 2015 ) + 0.31 (Dec. 2015 ) + 0.18 (Mar. 2016 ) = $1.13.

* 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

Dec11Dec12Dec13Dec14Dec15
ev2ebitda 0.000.000.000.000.000.00-11.196.058.771.20

Ares Commercial Real Estate Corp Quarterly Data

Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16
ev2ebitda 6.051.955.161.748.774.003.362.091.201.30
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